Nooria Khan

ERP: 18516

ASSIGNMENT

Question 1) Why is technology and innovation important?

Technology and innovation work side by side. They are key to ensure sustained success.
Innovation is important as it leads to efficiency and it helps in making improvements to your
product in order to stay competitive in the market. Therefore, in a changing market environment
this helps businesses to increase their revenue as well as their profitability by providing a
competitive advantage.

One reason why organizations should keep on investing in technology and innovation is that they
lead to continuous improvements which helps the organization to grow and prosper among its
competitors. With time, trends keep on changing in the market as consumer preferences change.
To meet the changing needs of customers, it is vital that organizations remain up to date with
their products as no one would be willing to purchase something that they consider to be
outdated for example, cassettes. Another example is of Kodak which was the leading company in
photography which failed to adopt to the digital trend and as a result, stayed in their traditional
methods.

Therefore, the need and the importance to innovate is inevitable in the end. In order to grow, to
meet the changing needs of customers, to lower costs, and to improve quality, it is essential for
all organizations to invest in technology and to keep on innovating.

Question 2) What is disruptive innovation?

Disruptive Strategy can be defined as a strategy that either creates demand and a new market or
it disrupts the existing ones. Therefore, it is a type of innovation which brings revolution to the
industry as the new way of innovation removes the market leaders that already exist, making
them obsolete.

There are many examples that come under disruptive innovation. One example is of Netflix.
Netflix now creates a whole new experience for customers where they watch their favorite TV
shows and movies which has replaced the concept of DVD’s for a long time now as every single
person would now be more willing to watch their favorite show or a movie online rather than
going to the market and purchasing a DVD. Another prominent example is of Uber. This
application has significantly replaced the traditional taxis and any other public transport. It gives
you options regarding the type of rides that you want to take which ranges from a normal call to
a business car and is always available at the convenience of the customers.

Question 3) How dominant designs emerge?

The emergence of dominant designs is accompanied by consistent innovations in your product.

The product design also facilitates faster innovation in terms of process and integration that aim
predominantly not at changes in the product but rather in the production process, and lead to
lower costs as well. This happens more often when an organization wants to take a lead in a
highly competitive market. An example of a dominant design can be Smartphones.

There are three main stages of a dominant design:

 Fluid Phase – Companies try to win over customers from their competitors by offering
them what they’re looking for.
 Transitional Phase – Companies focus on making their processes more cost effective and
efficient.
 Specific Phase – When the dominant design has emerged and therefore, there are no need
for any changes to be made.

Question 4) How companies make new technologies a commercial success?

This can be achieved through efficiency and effectiveness.

Effectiveness means choosing projects that are most relevant while efficiency focuses on
optimizing costs. Therefore, it is important to ensure that people don’t think of your technology
as useless. There are 4 factors that need to be present to make technology a commercial success.
These are:

 Sustainability: To be accepted by people.

  Scalability: How large is the customer base that will be interested.
 Reliability: Ability to be trusted.
 Relevance: How useful it will be.

Question 5) What should you learn about technology innovation and why?

Technological innovation better reflects the business consideration of improving business value
by working on technological aspects of the product or services.

Important things to learn about technological innovation are as follow:

 Leads to innovation.

 Needed for organizations to grow and prosper.

 Important to understand that not every innovation will be helpful or successful in the end.
(example Blackberry)

 Should end up with a viable product that responds to a market need.

 Should be able to achieve dominant strategy to avoid being outcasted in a competitive

environment. (example Kodak)

 Should come up with strategies that are going to be sustainable