Diffusion

of
Innovation
Presented by:
“LAKSHYA”
Syndicate – 6
Mangalmay Institute of Management Studies
Lakshya Members…
– Meenaz Hafizee
– Shikha Dayal
– Krishna Kumar Verma
– Pranav Kumar
– Rabindra Kumar
– Rajesh Chowdhary
– Rishikesh Arya
– Sameer Kumar
– Sandeep Kumar
– Tarun Kumar Mandal (Group Leader)
–
Diffusion of Innovations

is a theory of how,
why,
at what rate
new ideas and technologies
spread through cultures.
 By: Rabindra
History of the Study:
 Concept was first studied by the
French sociologist Gabriel Tarde
(1890)
 Followed by German anthropologists
Friedrich Ratzel
 and Austrian scholar Leo Frobenius.

 Other important studies were done

by:
o H. Earl Pemberton
o Ryan and Gross
History Continued… By: Rabindra

• Everett M. Rogers is widely known as

the God Father of the “Diffusion of
Innovation” .
• He researched on “how farmers adopt
agricultural innovations, despite their
earlier resistance. Innovation diffused
overtime”.  
• Rogers wrote a book “Diffusion of
Innovations” in 1962.
• It gave him academic fame and still
remains the most cited book title in
social sciences.
“Diffusion of Innovation” By: Krishna

• Everett M. Rogers proposed 4 main

elements that influence the spread of a
new idea:
• Innovation,
• communication channels,
• time
• social system.
 Definition by Rogers :
‘DI’ is the process by which an innovation
is communicated through certain
channels over time among the members
of a social system.
Elements of Diffusion of Innovation
By: Krishna
Innovation
• "an idea, practice, or object that is perceived as
new by an individual or society.
Communication channels
• "the means by which messages get from one
individual to another“
Time
• “length of time required to pass through the
innovation-decision process”. The relative speed
with which an innovation is adopted by
members of a social system”.
Social system
• A set of interrelated units that are engaged in
joint problem solving to accomplish a common
goal”.
Innovation Decisions
By: Rajesh
• Two factors determine what type of a
decision it is:
1. Whether the decision is made freely and
implemented willingly
2. Who makes the decision

• Based on these considerations, there are

three types of innovation decisions:
 Optional innovation-decisions,
 Collective innovation-decisions,
 Authority innovation-decisions.
Innovation Decisions… By: Rajesh

Optional Innovation-Decision
• This decision is made by an individual
who is in some way distinguished from
others in a social system.
Collective Innovation-Decision
• Made collectively by all individuals of a
social system.
Authority Innovation-Decision
• Made for the entire social system by few
individuals in positions of influence or
power.
The Adoption Process
By: Shikha &
Tarun
Everett M. Rogers categorized it into five
stages (steps) as:

Earlier Modified
Categorization Categorization
awareness knowledge
interest persuasion
evaluation decision
trial implementation
adoption confirmation

An individual might reject an innovation at

any time during or after the adoption process.
 The Adoption Process… By: Shikha &
Tarun
Individual has became
aware about its
existence but lacks
information about the
A R innovation.
C E
C J
E E
P C
T T
 The Adoption Process… By: Shikha &
Tarun

Has acquired
knowledge and has
formed a favorable or
A R unfavorable attitude
C E towards it
C J
E E
P C
T T
 The Adoption Process… By: Shikha &
Tarun
Due to the individualistic nature of
this stage Everett M. Rogers remarks
it as the most difficult stage.

A R
C E Individual engages
C J in activities that
E E
P C
lead to a choice to
T T adopt or reject the
innovation
 The Adoption Process… By: Shikha &
Tarun

A R
C E
C J
E E
P C puts the
T T innovation into
use
 The Adoption Process… By: Shikha &
Tarun

A R
C E
C J
E E
P C
T T

The individual
evaluates the results
of
innovation-decision
already made
 Characteristics of Innovations
which determine the By: Meenaz

RATE OF ADOPTION

Characteristics:
Relative Advantage
Compatibility
Complexity
Trialability
Observability
Relative advantage:
• how improved an innovation is over the previous
generation.
• Several Analysis
• The greater the perceived relative advantage of an
innovation, the more rapid its rate of
• adoption will be.
Compatibility:
• The innovation has to be absorbed into an
individual’s life.
• degree to which the product is consistent with
existing values and past experience of the adopters
Complexity:
By: Meenaz
• whether it is easy to be adopted, if the innovation is
too difficult to use then individual will not likely
adopt it.
Trialability:
• ability to make trials easy for new products.
• New ideas that can be tried beforhand be adopted
more quickly than innovations that are not divisible.
• Trialability reduces Uncertainity.
Observability:
• the extent that an innovation is visible.
• The easier it is for individuals to see the results of an
innovation, the more likely they are to adopt it.
• Visible will drive communication.
Adopter categories
By: Rishikesh

• Everett M. Rogers in his book categorises

adopters into 5 Classes:
 innovators,
 early adopters,
 early majority,
 late majority,
 laggards
Innovators
• First to adopt an innovation. They are: By: Rishikesh
 willing to take risks,
 Generally young in age,
 Are from high social class, have great financial
lucidity.
Early Adopters
 Second fastest category of individuals who
adopt an innovation.
 Early adopters are academically advanced and
are socially forward. Maintain central
communication position
 These individuals have the highest degree of
opinion leadership among the other adopter
categories.
Early Majority By: Pranav
• Adopt an innovation after a varying degree of
time that is significantly longer than the
innovators and early adopters.
• Have above average social status,
• They rarely hold positions of opinion leadership
in a system.
Late Majority
• They have high degree of doubts.
• Adopt only after the majority of society has
adopted the innovation.
• Have below average social status, very little
financial lucidity.
Laggards By: Pranav
• The last to adopt an innovation.
• They do not like to change .
• Generally are advanced in age.
• Are focused on “traditions”.
Shortfalls of the Study
• It is an overly simplified representation of a complex
reality. Adopters often fall within different categories
for different innovations: a current laggard can be an
early adopter the next time around.
•  The model is not predictive. It does not provide
insight in how well a new idea or product will do
before it has gone through its adoption curve.
•  Customers often adapt technology to their own needs,
so the innovation may actually change in usage when
moving from the early adopters to the majority of
users.
• Innovation is often not an free-standing process, but
part of a larger historical setting. An example is the
QWERTY PC keyboard whose design originated
from 19th century mechanical typewriters.
Thank You for
your
Attention…
Your
Questions are