Innovation and entrepreneurship – Presentation by Venkatesh Sarvasiddhi
- Misconceptions about Innovation
- Primary misconception – innovation mainly technological
- New, novel, creative
- Innovation often confused with invention
- Discovery – Invention – Innovation
- Innovation can be managerial, legal, political
- Innovation – Definition 1
- Innovation is an endeavour which produces a significant leap in the cost to benefit ratio
- Costs and benefits are defined in comprehensive ways
- Costs: monetary, difficulty, inconvenience, physical risk
- Benefits: Money, pleasure, health, fun, convenience
- Innovation – Examples
- Optical communication systems – bandwidth vs cost
- Flexible Manufacturing Systems: choice vs cost
- Web-enabled processes: customer satisfaction vs cost (FedEx example)
- ATM Machines: convenience vs cost
- Non-technological Innovations
- Productivity Innovation: Ford cars (assembly line)
- Marketing innovation: Frequent Flier programs (Sticky customers, avoiding customer churn)
- Pricing innovation: Web-services model
- Branding innovation: Kingfisher Airline ?
- Legal Innovation: Patents, Limited liability companies
- Financial innovations: insurance, mutual funds, installment buying, home loans, credit cards, derivatives (futures and options), mortgage-backed securities
- Innovation – Major and Incremental
- First time introduction – a whole new market created – SONY walkman, Dial-up modems (using phone lines to send and receive data)
- Innovation – Definition 2
- Innovation endows resources with new capacity to deliver
- Economics – Resources are scarce and limited
- Progressive societies efficiently allocate resources to the most promising activities
- Production Possibility Frontier
Innovation and entrepreneurship 2
View more presentations from Mayank Singh