CUSTOMER BASED INNOVATIONS

Demand and Innovation



Demand and Innovation

Introduction

This report focuses on the central ideas utilized in the Innovation is the article Demand and Innovation How customer preferences shape the innovation process work published by London, NESTA.

Innovation refers to the successful exploitation of new ideas. The demand in this respect to a request or preference for buying affordable product or service. The demand is on the mass of consumers to business, business to business, government, businesses and citizens with the government. In order to successfully develop new ideas proposed must be viable. This requires a careful balance between supply and demand factors.

So as to achieve successful innovations, we can not without the right market conditions, qualifications, cost and availability of materials, with or without the willingness of consumers to purchase or use of a new product or service. Innovations in policy-based UK to close the gap with our European colleagues. The Government White Paper on Innovation, is:. "Innovation is important for Britain's future economic prosperity and quality of life for increased productivity, competitive business, the challenges of globalization and in our environmental and demographic, the United Kingdom are living, have Excel on all types of innovation." There is wide agreement among developed countries is that innovation is an important part of ensuring that we remain competitive in the global economy.

Globalization has to move the pressure on OECD countries, the value chain and take part in the process of continuous restructuring and innovation increases. By strengthening innovation, countries, regions, cities and companies can become competitive and to better meet the challenges of globalization ", where one of promising business ideas looking face? Michael Porter made famous claim that the industry at different levels of profitability for the company is ever kept after your power, entry barriers buying power, and the threat of replacement. This approach was criticized, however, on the grounds that the companies are usually too slow to be able to create their own strategies based . only on the profitability of a particular industry, that criticism is much less true for entrepreneurs who are usually considerable flexibility - at least initially, -. on general areas in which they business ideas Porter four forces "not very well suited for new businesses and Entrepreneurs are beginning to see a rule with a very ill-defined idea of possible business models and the relative strength of its potential suppliers, customers and competitors.

Study Background

Innovation has been widely studied and seems to be on different phases and stages. It can best be described in the literature of companies on continuous innovation. Innovation can design, try the competition between several teams all the best ideas or models promotes help develop, it is called during the exploration phase and is characterized by numerous attempts, some successful, others characterized not tried as an individual or team to the concept move to the prototype that can be tested in production (Marhdon, 2010).

At some point, the choice in favor of one or more of these experiments, and all the resources diverted to ...