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___-business plan on the stage of selection ___-should be revised ___-main points

Presentation
 Outline: o Intro o Searching o Selecting o Implementation o Capture o Conclusion Introduction(COMPANY) Good afternoon ladies and gentlemen, welcome to our innovation presentation. Lemme firstly introduce ourselves - we are representatives of Apple Inc. and are here to introduce a new innovative idea, which Apple is going to use in the nearest future. Innovation as a process forms a huge part of Corporation, we invest millions in our R&D, creating a competition in a turbulent and uncertain environment. Steve Jobs used to say that innovation has nothing to do with how many R&D dollars you have. It is not about money. It`s about the people you have, how you are led, and how much you get it. You may also ask us, if our organization is so innovative as we position ourselves, the answer is YES we are, because we combine perfect ideas, motivated and engaged staff with instinctive understanding of what our customer wants. Here in front of you you can see a simplified model of the innovative process. Now my colleagues and I are happy to familiarize you with our innovation in details, raising some key questions : wot are we going to do, how we are going to make it and wot benefits can we gain in the end. If you have any questions, please, don’t hesitate to ask them at the end of our presentation.

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Greece 17. 5 forces-not a lot=> O. Asia Pacific). So. o Economic – The global economic depression might have an immense impact on Apple Company.7% of Apple total sales were out from America (Europe. from the hardware to the software to the service. economic. Apple produces some of its products in Ireland. Apple would sit on the sidelines and let other companies pour R&D money into new markets and products. However.  External(Pest.e. which created an industry of independent journalists who write every rumors about future products and that way advertising is created for Apple-advertising Weaknesses  Relatively expensive products  The product life cycle of Apple products are very small for that reasons revenues are more depend on launch of new products and services. Europe unemployment is worse than expected. (Spain – 22.(increases by 5. the level of unemployment in Europe is increasing very rapidly due to the current crisis and as a result Apple can use a significant part of its clients. Many of these companies make more money from iTunes (i.6%. social and technological factors. identifying all potential influences of political. Now we see. the inflation rate is high and consumers` incomes haven‘t seen any drastic changes. so any political issues between US and listed above countries may have terrible circumstances for Apple Inc.2%). how bad international relationships. In comparison with last quarter of 2011 foreign sales of Apple were estimated at 42. Moreover.5% . This allows it to maintain tight control over quality and ensure that everything will work together) • Apple‘s employees and public relations department are notoriously tight-lipped. 2011. Nowadays. during the 1st quarter 47. Japan. Apple customers are forces to spend less.  A lot of Iphone users complain that they have to charge it often  Pressure from music industry to increase prices of its music download file. then study what they did wrong and release its own version with all good parts and none of the bad • high customer satisfaction for technical support (Apple is responsible for the entire experience.6%. economic crisis hasn‘t affected Apple`s performance . downloadable music files) than from their original CD sales.Strengths: • strong brand name • innovative (strong R&D department) • successful ― technology leader‖ • core competence-ability to make easy-touse products(don't need to read a manual) and attractively designed • Low debt gives more space to control finance • High brand loyalty of Apple customers • only entering established markets that had profit potential. o Political – on the 24rd of January 2012 Apple announced financial results for its fiscal 2012 first quarter which spanned 14weeks and ended December 31. wars and terrorism can dramatically influence on Apple`s performance. Moreover. The Pest analysis helps to outline the current situation in Apple Company. China and Korea. Latvia – 16.1%).T)(barriers to entry and competitors)  PEST for Apple Inc.

Differentiation means providing a product or service with higher perceived value than the competitors. easy to use and combining quality. Despite world financial and economic problems Apple contrived to make extra profit on it. Companies which produce smartphones are not little butter makers and can afford not to follow all suppliers requirements. And no one other device satisfies the same requirements like smartphones. (iPad (April 3. o The power of supplies. Apple Inc. o The power of buyers. At the same time for new companies it will really difficult to use technology achievements because incumbents have the major part of patents and always try to court with competitors. design and functionality. so the Corporation is deservedly associated with a leader in technological industry. computers and so on. In many industries manufactures have had control over supply and/or distribution channels. 2011) launch. o Social . The threat of entry is estimated as low. Also it would not be easy to get access to supply or distribution channels. But in generally the power of buyers is estimated as low. So buyers do not concentrate in one power and they do not have buyer competition threat. the product lifecycle is very small. Nowadays there are a lot of companies which produce components and soft for phone and smartphone. (Due to its huge investments into R&D). Smartphones occupies very specifically niche on the electronic market. adding more competition to the market. o The threat of substitutes. And the “supplier competition threat” is zero because it is impossible to cut out buyers who are acting as  . Therefore social influences have positive effects on Apple Inc. is seen as a 100% leader in all technological aspects.Nowadays modern world can not be seen without any technological devices as mobile phones. the market of computers and mobile phones has become huge. It is possible to say that the threat of substitutes equal to zero. o Technological – We live in a world where new technological devices appear almost every day. they of course can not produce smartphones by itself. price range in smartphones market is very differentiated and buyers can switch between one supplier or another. Moreover. Differentiation reduces the threat of entry because increasing customer loyalty. Nowadays all top electronic corporations produce smartphones. Apple Company was always associated with an innovation and always came to the market with something brand new and very innovative. 5 forces(barriers to entry and competitors) o Threat of entry. necessity of huge scale experience. 2010) and iPad2(March 11. because of the company`s great success. The innovations and changes follow one by one. so they do not have high “concentrated supplier” power and it is not a problem to change one supplier to another because switching cost is also low. Mostly buyers of smartphones are ordinary consumers not one or two big corporations. so it is incredibly difficult for completely new company to penetrate the smartphone market because it states high barriers of entry such as R and D cost. And the last component which indicates that threat of entry is low it is differentiation. Apple produces very computerfriendly devices. The one thing which gives power to buyers it is “low switching cost”.

 Problems in developing countries: political instability. So its still a huge opportunity for them. Opportunities:     High demand for online music and applications International expansion Blackberry and Nokia are in a crisis now. The level of competition is quite high in the smart phone market. More and more companies produce Smartphones and it is easy to enter this market. tariffs etc . its social network based around Itunes music and GameCenter. Apple can use this chance to win more market share. Being a technology leader Apple always attracts competition that is why it works very hard on R&D to gain competitive advantage  Increasing piracy may reduce the revenues of iTunes. Apple has not been able to go as deep integrating Facebook or other social networks into its products. Summary? Threats:  The very high level of competition in the technology markets. its social gaming service. messaging and internet services on the phones from the whole world. All companies offer approximately the same product and have the same target customers. government regulations. o Competitive rivalry. Samsung. Nokia-due to inability to provide a rapid innovative development and Blackberry because of recent scandal of an outage of e-mail.middlemen (companies which produce smartphones). HTC. nobody need handset components by itself. Fortunately smart phone market has hire growth rate which helps companies to obtain new customers and decrease a little the level of competition. So the power of supplies is low. There are five main competitors (Apple. Apple already tried to be more ‗social‘ with Ping. BlackBerry and Nokia) who have roughly the same market share and it increases competition degree.

Link: http://www. the ones which show great potential are the sources which recovered from periodic vibrations. this is not so bad.pdf WHY we finally chose solar panel? The lithium ion battery developed by the researchers from Northwestern University is pretty interesting and could definitely have a huge impact on the electronics market. their technology is kept secret. but the basic concept is that Power Plastic is made using nanoscale titanium dioxide particles coated in photovoltaic dyes. environmental sources. human activity. “Power Plastic” which absorbs both sunlight and indoor light and converts it into electricity. This is particularly useful for continually charging or providing emergency power to mobile. Thanks to the researchers at UTA. vehicles. Imagine a cell phone battery that stayed charged for more than a week and recharged in just 15 minutes. For patent reasons.com/charlie/ nanosociety/course201/nanos/ MP. some of the promising sources are recovering energy from periodic vibrations.php?id=4 921 1)solar battery A well-known company named Konarka Technologies is also pursuing the use of nanotechnology to improve solar energy. The mechanical energy harvesting sounds good as well. vehicles. Unused power exists in a variety of forms for instance industrial machines.innovationtoronto. battery-powered devices that are hand-held or carried by individuals.c om/2011/11/new-battery-techpromises-10x-charge-life-oftodays-batteries/ 3)Mechanical energy harvesting Unused power exists in various forms such as industrial machines. Among these. Along with those sources. they have developed and patented a mechanism for capturing mechanical energy and converting it to electrical energy. structures & environmental sources. 2)Selection  Selections\options-Radu 2)new battery Researchers at Northwestern University have developed a lithium-ion electrode that they say will allow conventional Li-ion batteries to hold a charge 10 times greater than current technology. they are already manufacturing a product called. human activity.co m/innovations/report. such as mobile phones or even selfwinding wrist watches Link: http://innovationsupplychain. . In fact. Link: http://www.tahan. which generate electricity when they absorb light. But as they said the technology could be seen in the marketplace in the next three to five years and we can‘t wait that long and we don‘t have a clue about the costs of these batteries. especially in the mobile phones industry.

and we don‘t know what‘s the size of the mechanism and how are we going to implement this technology into our iphone. without using other gadgets. The idea of iPanel is to help the environment and busy people. The product is easy to use for all kind of ages and it will be mounted for free in any of the Apple stores. Complexity iPanel is a product without any special instructions easy to use and easy to maintain. they are really thin. is to turn the phone with the cover straight to any source of light to proceed the charging. made by Konarka Technologies is a very good option in our opinion because it absorbs energy from the sun from any angle. The only competitors on the market will be the companies that are creating solar panels or wireless charging gadgets to our phone. The reason for choosing this is because we have lots if information about their products. Relative Advantage iPanel will be the first product of it‘s kind on our range products and first designed to fit directly to the iPhone‘s design. they also do custom panels as well. iPanel will stop the charging automatically when the phone reached the fully charge or when it is connected to other power source. It will be a delightful product for our current loyal iPhone customers. offering them the possibility to extend their lifetime battery. In the case of mobile phones. as well as the cost of doing this. Even so using the gadgets will make the phone to look thicker. Another plus for choosing this option is the fact that we are becoming more environmental friendly. it can surely increase the battery life time. it is build from premium aluminum and nanoscale titanium dioxide particles coated in photovoltaic dyes. and we could easily implement them on the cover of the phone. iPanel is more then a regular case.  What is it?(general info) iPanel is a new nanosolar phone case for iPhone 4 and iPhone 4S. The charging will be connected directly to the inside battery charger. (For advanced users the company will provide an application. Apple is one of the most eco-friendly IT companies and this will bring a significantly improvement to that particularly key point of our business. and nowadays all the businesses are aiming for this. unlike the other technologies used to collect energy from the sun. the first company that used nano technology regarding to solar panels. The future of iPanel is to be able to create a self-sustainable smartphone. The product is developed in partnership with Konarka. The nano scale solar panel. which allows customers to configure their iPanel. (probably to add something about price of the iPanel that we will discuss) Compatibility iPanel it‘s an innovative ―green‖ accessory that will boost up Apple sales and that will improve the sustainability of our company. . The only thing that customers should do after they‘ve purchased one of the product. Anyway we don‘t know this much about it. bigger and heavier.The Researchers from the University of Texas at Arlington created and patented a system for capturing mechanical energy which is then converted to electrical energy.

it is a change in things that an organization offers. . First customers that will adopt the product will be young and business people that are using the phone for more then simple calls or emailing. The improvement we are making for an iPhone4 deals with significant changes in technical characteristics and materials. processes or technologies by improving on what currently existed. In stores will have 2 iPhones 4S. Observability The efficiency of the iPanel is clearly visible by any of the smartphone users from the market. because all the smartphones are facing huge problems in battery autonomy.  What kind of innovation?-Anna When talking about innovation.The application will be provided automatically at purchase to customers. made nanoscale titanium dioxide particles. The innovation type we are offering now relates to ―product innovation‖ . As you can see.) Trialability The iPanel will be available to curios customers in all the Apple stores. Incremental innovation (do what we do but better) exploits existing products. one with the new iPanel and one without it. The type of innovation we offer is more radical that incremental. In front of you. The benefit of the product will be visible in customers‘ reviews that could attract more clients. because incremental innovation deals with an existing product developing.the introduction of a good or service that is a brand new to the market or significantly improved with respect to its characteristics and brings customers` satisfaction. which reflects all the space where an organisation is currently operating. in their App store account. the concept of our old phone plastic panel was improved and replaced with a solar one. radical innovation (do something completely different) uproots existing markets by providing something completely new to the world. this can take several forms and basically focuses on four broad categories. How we already mentioned before iPanel is an accessory to our current products from the market so trials will be available just as a presentation of the product. There are many different types of innovation with the two most popular types incremental innovation and radical innovation. you see the ―4Ps‖ framework.

innovative strategy can be seen in further integration and applying solar panels to smartphones that was never done before. So the approximate graphic of Ipanel will be look like this:  Do we have capabilities?-Sergey .. energy supply (dwelling and uninhabitable houses) and even on international space stations. Thus. sales forecast for new solar panel is expected to rocket from the first days. for convenience let‘s call it third. we are gaining a competitive edge and strengthening leading positions in the market bringing new components for existing systems  Life cycle-Sergey Life cycle of Ipanel is in direct correlation with iphone 4 and iphone 4s. Apple`s Inc. we are creating a solar panel as a future irreplaceable iPhone component. sales will start to go down and will achieve the iphone sales it is estimated that 87% of new Iphone 4 or 4s will be bought with solar panel. which will definitely make a breakthrough in the market. Then after one or two quarters it is predicted the light decrease of sales because of saturation of market. Solar panels are now widely used in different scopes of activities including microelectronics (accumulation). And in the third stage. (Our customers will be able to solve the main iPhone problem – terribly poor battery). Rely on the previous information about sales of iphone 4/4s and other Apple devices .We are not launching a new improved iPhone.

Creative climate 10 8 6 4 2 0 Inclusive lidership Financial resources Apple Average in industry Apple Company is one of the leaders of the smart phones market and one of it the main advantages is exactly creating and launching of innovation products or software’s. usually silicon. It has been stated that for developing of new Ipanel company has all essential components starting with money (huge R&D budget) and ending with creative staff. This absorbed energy knocks out electrons in the silicon. they absorb energy through photons.  3)Implementation Device pictures -Radu Technology evidence (details of the product)-radu How solar panel works: About conventional solar cells Conventional solar cells are called photovoltaic cells. allowing them   . Efficiency and quality of Apple innovation resources is evidenced by its bestseller products. So all necessary conditions are already developed and checked during the previous years. These cells are made out of semiconducting material. When light hits the cells.

in full or partial sun. much more versatile than traditional solar panels. . but the most promising application of nanotechnology is the reduction of manufacturing cost. These electrons flow through the nanorods until they reach the aluminum electrode where they are combined to form a current and are used as electricity This type of cell is cheaper to manufacture than conventional ones for two main reasons. the end result is a current of electrons. Instead. thin-film. Our lowlight sensitivity enables us to generate energy earlier — and longer — than our competitors. because it only allows electrons to flow in one direction. Consequently. Second. and powerful. Konarka Power Plastic collects energy from nearly sunrise to sunset outperforming its competitors. Power Plastic outperforms others in total energy collected over the course of a day. The nanorods behave as wires because when they absorb light of a specific wavelength they generate electrons. By adding different impurities to the silicon such as phosphorus or boron. silent. Aesthetically beautiful. organic solar material. these plastic cells are not made from silicon. Total Energy Collected Unlike silicon and other solar technologies. better known to us as electricity. This electric field acts as a diode. These new plastic solar cells utilize tiny nanorods dispersed Diagram of a nano solar cell within in a polymer.to flow. which can be very expensive. Thin. First. an electric field can be established. Konarka‘s unique technology is based on patented photo reactive materials made from conductive polymers and organic nano-engineered materials. Conventional solar cells have two main drawbacks: they can only achieve efficiencies around ten percent and they are expensive to manufacture. Nano solar cells Nanotechnology is able to increase the efficiency of solar cells. Power Plastic is a lightweight. Power Plastic conforms to a variety of shapes and contours offering design freedom like never before. flexible and semi-transparent. manufacturing of these cells does not require expensive equipment such as clean rooms or vacuum chambers like conventional silicon based solar cells. these plastic cells can be manufactured in a beaker.

Why does Power Plastic work so well? Power Plastic works so well because of two primary reasons: 1. trying to build reliable forecasts. advertising. Power Plastic can be sealed between or adhered to glass to become part of windows or curtain walls. the cost of transportation and assembling will be very small. Konarka will provide us with the custom size nano solar panels. Our company always takes a gamble and faces the difficulties. The iPanel will be connected directly by two connectors to the phone‘s lipo-charger battery that is included in all our current products on the market. Less dependence on angle of incidence of the sun 2. which is usually minimised. and is easily rolled for portability. because – ―if you are not moving forward. flexible. ignored or avoided. Because iPanel will take the regular curse of any Apple product. in fully light and 3. connectors will cost $2 and the cost for one nanosolar-panel will be $10.7V and less mA if the light source is artificial or cloudy sky. Lightweight. How iPanel works? The iPanel will generate 3. transportation and assembling costs.Power Plastic is an organic photovoltaic technology made from recyclable materials. extra profit etc. We are not too . In most organizations nowadays risk has become a negative term. and carries on later into the afternoon than do alternative solar technologies. which will go to China for in order to be assembled.  Risks-Anna When dealing with innovation we should always bear in mind risks and uncertainty. you are falling behind‖. applied to soft sided structures for remote power applications. Calculate costs+pricing+distribution+sales+cashflow_breakeven points+sensivity+financial resources that we will use—We Costs = panels 8$ each+ Amount of sold Iphone  The cost of iPanel production will be relatively small: The aluminum part. After the assembly is done the final product will be sent to the Apple Stores worldwide. Production costs-12£ per unit iSupply company estimated the price of 1 iPanel 40£ per unit because of additional costs such as brand name. This means Power Plastic starts working earlier in the morning. Power Plastic solar panels are designed to be solar chargers or integrated into products made by other manufacturers. Superior thermal coefficient Power Plastic has a chemistry that excels at converting low light to energy. salary. and thin. IPhone 4 will need 10 hours in fully light for complete charge and iPhone 4S will need almost 11 hours.  Value chain: Our partner.7 V and 120 mA.

Collaboration with supplier will not be a success – external – low A contract will be signed by both parts. 5. they have less incentive to take a risk. Once uncertainty has been reduced. we have a technology and an idea. and if something goes wrong our supplier will have to pay a huge penalty. 1. We are pretty sure in what we are doing and use a critical approach when starting a new business. how to implement the theory into practice. 4. Appearance of market competitors – external – low/medium? The solar panel is developed exclusively for iPhone 4 and iPhone 4s. what in its turn will cut an access to the market for all other companies.internal – low In the financial part of this presentation we calculated all costs and have a clear view of what we have. young mobile people and travellers. but. However. Process uncertainty is low. how much time will it take to develop a solar panel for us. the output uncertainty is pretty high and our ultimate results are unknown and can be barely predicted as solar panels have never been applied to the mobile phone market (pressure to achieve goals against time and costs pressure). 3.overoptimistic in our estimates and forecasts and are ready to submit for your consideration most significant risks we have when applying solar panel to iPhone 4 and iPhone 4s. Managers` overconfidence and uncritical assessment – internal . we have a clear view on the process.8bln. and estimated the risk as high. Product development time will take longer than we thought – internal – medium It is a first time when Apple Inc. on the other hand. The project will overrun the budget . We relatively divided all risks we have into two categories : external and internal. Being aware of iPhone worldwide reputation the negative changes in target market seem to us almost unbelievable. The target market will significantly change – external – low The target markets for existing product are smart businessmen. The development of a solar panel is not so expensive as it may come in sight. With a launch of a new accessory we hope to attract new customers and to enlarge target market groups and gain extra profit. it is a contract term. When managers are performing well and achieving their targets. if the supplier breaks the terms – immediate penalties will follow as a result and we will not suffer. only the most promising projects should be allowed to continue. The innovation we are offering is doable and will make a breakthrough in the market.medium Our intuition has never laid us down. the product development is based on a patent basis.$) 2. medium and low. is collaborating with a new supplier and it is difficult to predict. (the budget for R&D is huge – approximately 2. Pearson’s Uncertainty Map What refers to Pearsnon`s uncertainty map we are positioning our innovation as an application engineering and placing it into the upper left square. 6. .

o All the stores will have eye-catching displays to make the product stand out from the pack a month before the release. o Because iPanel can be installed just in Apple stores it is necessary to conduct trainings for staff to teach necessary skills for customer service Marketing strategy: Clear definition of target market-Dasha (target customers) Target segment Students. It will also help to lure customers inside and see whole range of products of Apple. creates atmosphere of trust. enhance the motivation on his followers. young people Businessmen Travelers Consumer needs Enjoy multimedia content at any time Stay in touch on the go every minute Cannot charge phone every day in their trips Corresponding benefit Disappearance of need to charge it every day because it always works o o Therefore our target market is 26mln customers Strong brand loyalty. Distribution: o Focus on the mass distribution worldwide in all Apple Stores.) o As a company is highly innovative leadership always focuses on transforming others to help each other. Communication: In our advertising we will emphasize innovative idea.  Leadership and staff (Experience. useful characteristics of our product as well as environmental friendliness. expertise.  How can we overcome “the chasm”? . concept of the product and absence of the competitors in these sphere will strengthen our success We position Ipanel as a universal product suitable for both Iphone4 and Iphone 4S aimed to improve already produced phone for people who really need it while not pollute the environment. commitment of the management team. coordination and control.

 A lot of innovations have initial success with innovators and early adopters. o Therefore increase customer loyalty o Open a new market where we don‘t have competitors. Using these 3 steps we can minimize a risk to stuck in ‗innovation chasm‘    4)Capture Our profit\performance===? Benefits for customers. market and Apple company –Radu and Dasha o As Iphone is designed for active users by creating Ipanel we satisfy consumer need of self-charging. which makes to buy a new product which Apple releases quite often.co.uk/home/moslive/article-2059829/Apples-iPhone-4S-price-How-really-costsmake. o Creation of eco-friendly product will improve sustainability of our company and the market if everybody adopts this system o Apple obtains profit. Loyalty of our customers-an important factor. It happens because of drastic difference in the profile and buying habits between visionaries and pragmatists (innovators\early adopters and the most majority. although the main goal was another.html . o At the end we still innovative leader in technology industry 5)Conclusion  http://www. In order to overcome the ‗chasm‘ we must : o o o Use a lot of advertisements with providing to pragmatists good reasons to buy Pragmatists are mainly stimulated by the price and we cope this problem successfully by offering relatively inexpensive product. but then suddenly sales slowdown.dailymail.