04 Strategic Choice: Innovation, Business Models, Transformation

Question 1

(I) Innovation vs Invention

Answer 1

Question 2

(I) Innovation Dilemma

Answer 2

Question 3

Product vs Process Innovation (Basic Dif.)

Answer 3

Question 4

Product vs Process Innovation (Curve)

Answer 4

Question 5

Technology Push vs Market Pull

Answer 5

Question 6

(ID S) Innovation Diffusion

Answer 6

Question 7

(ID S) S-Curve Concept: Technology Competition

Answer 7

Question 8

(ID S) The “Double S Curve” (biggest challenge for est. companies)

Answer 8

biggest challenge for established companies

Question 9

(ID S) First-Mover Advantages

First Mover vs Fast Follower?

Answer 9

• Scale Benefits
• Experience Curves
• Pre-emption of scarce resources
• Reputation
• Buyer switching costs

My Space vs Facebook: Freeriding, Learning

Question 10

(D) Def. Disruption

The Innovator’s Dilemma

Answer 10

Disruption = smaller company with fewer resources can successfully challenge established incumbent businesses

Question 11

(D) Why Uber is not on a disruptive trajectory

Answer 11

Question 12

(D) Often overlooked principles of disruption

Answer 12

____

Question 13

(D) Ways for incumbents to integrate disruptive innovations

Answer 13

Question 14

(OI) Open Innovation: From a closed to an open innovation paradigm

Answer 14

Question 15

(OI) Open Innovation: Def. + Image

Answer 15

Question 16

(OI) Types of Open Innovation & Modes of Collaboration

Answer 16

Question 17

(OI) Open Innovation Partners (Curve)

Answer 17

Question 18

(OI) Incumbent-startup engagement models

Answer 18

Question 19

(BM) Business Model (Def.)

Answer 19

Rationale of how an organization creates, delivers and captures value

Question 20

(BM) Business Model Canvas

Answer 20

Question 21

(BM) Magic Triangle

Answer 21

Question 22

(BMI) Business Model Innovation

–> Magic Triangle Reconfiguration

Answer 22

Question 23

(BMI) New Business Models allow for additional value creation potential for the company

Answer 23

… and to additional profit potential

Question 24

(BMI) Business Model Innovation

–> Challenges

Answer 24

1. Overcoming the dominant logic
2. Difficulties in thinking in business models
3. Lack of systematic tools

–> In multinational companies, Business Model Innovation lies only at 10%

Question 25

(BMI) Strategies for generating new business models

Answer 25

Razor& Blade Ex.:

Basic product - cheap/for free; consumables needed to use or operate it - expensive, sold at high margins

Transfer, Combine, and Leverage

Question 26

(BMI) What to do against disruptive business models? (step by step manual)

Answer 26