PRE-LAUNCH DECISIONS WHICH INFLUENCE INNOVATION SUCCESS - Essay Example

?PRE-LAUNCH DECISIONS WHICH INFLUENCE INNOVATION SUCCESS Question Discuss the roles of early adopters and network developments in the market acceptance process of innovation. The companies prevent competitors from adapting to the change in the technology in the high tech manufacturing world. This is for reducing competition and managing the relationship and interconnectedness with the strong network externalities maintained in the high tech markets. The actors of the manufacturing world adapt to the innovation for increasing the availability of the complementary products. This in turn enhances the value of the innovation. The subsequent adopters reinforce this process for the promoting the double loop cycle (Frattini, 81-120). Using this system and allowing the early adopters and the network development personnel enhances the value of the innovation for the user. This further promotes long term strategic partnership between the members of the adoption network. This process also shares the risk and supports the systemic innovation. Different innovation products like the Palm Pilot, Apple and Nintendo have used this technique for reducing this risk associated with the innovation. In some of the cases such companies have also refused to share any sort of partnerships with the competitors and yet share the innovation. This leads to a commercial relationship and leads to potential profits realized by the organization. Adapting to this practice the companies commercializes their innovation which leads to the subsequent future benefits. Due to the increasing high tech innovations the target market comprises of the people who resist change. This leads to uncertainty when evaluating the opportunity. The willingness of the early adopters to buy the products is not backed by the critical members which are part of the adoption network. This represents signals to the later adopters and hence reduces resistance and uncertainty. Hence this shows the role of early adopters and network developments in the market acceptance process of innovation. Question # 2: Compare and contrast the critical factors that impact successful and unsuccessful innovations; pay particular attention to timing and positioning. The critical factors which impact on the successful and unsuccessful innovations are timing, targeting and positioning, inter-firm relationships, product, distribution, advertising and promotion and pricing. Comparing the process signifies the success and failures of the process. For the inter-firm relationship it is signified that support is required from the critical administrators of the process. This ultimately leads to enhancing the value of the innovation. Increasing the availability of the complementary products will enhance the potential adoption for choosing the purchase of the innovation. Different strategic policies are initiated for initiating a long term partnership. The contributing role of the adoption networks also refers to content based innovations and promotes use of creative software’s for application development (Frattini, 81-120). Timing is considered as one of the most critical factors. The timing with which the innovations are formed is important for determining the degree of support which is ensured to the innovation. The analysis shows that often the firms act to postpone the establishment of strategic alliances. Once the innovation has been launched in the markets then the critical players engaged with the product take the measures for promoting it. Timing is also critical because in certain situations the product fails to generate the sales in a particular segment. Example of such a situation is that Sony refused to partner with electronic outlets. Similarly the targeting and positioning of the innovations also plays a vital role. A firm easily succeeds in orchestrating the support from the adoption network players. The firms appropriately select the target market and they position the product accordingly for attracting the right set of customers. in some cases the response from the customers is anonymous and different people with different profiles seem to be getting attracted. Targeting the product and positioning it in the right market attracts more and more customers. Questions # 3: Evaluate how the Marketing Mix (each component) contributes to the market acceptance of an innovation. The components of the marketing mix which are essentially the product, price, place and promotion of the innovation product play a very essential role in the positioning of the products. The market acceptance of the innovation shows that product must be accurate and appropriate so that the right segment market of the customers can be attracted. This shows that the product must cater the needs of the customers accordingly and it must address the needs of the particular market segment. Besides this the price which is set must be according to what others can adopt to. This must be appropriate to the targeted market segment. The place determines the launching phase of the innovation and the target market which is aimed to be attracted by the customers. The promotion of the innovation must also be done appropriately and the entire promotion process must be aiming to target the particular segment of the market. This will enhance the value and promote the new innovation with entirety (Frattini, 81-120). Acceptance of the innovation process requires that the marketers adopt the strategies which aid in promoting the products. The evaluation of the marketing mix significantly enhances the entire innovation and leads towards the market growth and development. Question # 4: Discuss which component of the Marketing Mix has the least affect on the market acceptance of an innovation and justify your position. Price can be considered as the aspect of the marketing mix which has least importance in promoting the innovation product. An innovative product is not bound with the price. It is different and unique and hence it creates a distinction in the markets. This shows that price is not a prominent factor which dominates the positioning of the innovative product. This attribute of the marketing mix has the least effect in the market and hence it can be noted that price does not impact on the positioning of the product in the markets. For acceptance and justification of the innovation these attributes are more important and distinguish it from what others are producing. The pricing strategy used for promoting the product requires skimming the goals which is set. This is achieved by the strategic management. Different pricing strategies are adopted for promoting the complementary goods and additional services in the industry. The businesses are constantly engaging in the commercialization process. This signifies the importance of adoption and signifies the importance of reinforcing with different networks. These are part of the plan which is enforced by the strategic partners of the organizations. These commercial relationships and networking processes aim at maximizing the potential profits for the innovation products (Frattini, 81-120). Work Cited Frattini, Federico. ‘Achieving adoption network and early adopters acceptance for technological innovations’, in Tidd, J. (ed.) Gaining Momentum: managing the diffusion of innovations. London: Imperial College Press, 2010: 81-210 Read More