Innovation
Changing customer tastes, technological advances and competition => Innovate!
It is risky, most new product fail -> should tolerate failures; should be measured in number of successes and lessons learned.
Invention is different from an innovation. Invention is the discovery of new ideas or methods; innovation occurs when an invention is commercialized and brought to market. Innovation is not only about products, also about business models, processes, etc. Many success stories come from doing similar things in different ways; innovation is about finding better ways of meeting customer needs, it does not necessarily require a major breakthrough in technology.
- it is expensive, time-consuming and risky
- requires a corporate culture that promotes innovation (and doesn’t punish it)
- requires support from top management
- requires team-work: specially between the marketing (providing the user perspective) and R&D Department (providing the technical know-how)