iqm test Flashcards
(22 cards)
What is innovation degree of novelty - Radical?
It is the creation of a brand-new product or service that nobody expected and that tends to impose itself on the life of users. Television and the smartphone are two typical examples of radical innovations that have changed our daily lives.
What is innovation degree of novelty - Incremental?
Is also known as continuous improvement. It consists of improving a product or service in its market. Its less ‘’spectacular’’ and immediate than other types of innovation, but it is effective when addressing transformation issues within the company or change processes.
Incremental innovation is an especially participative approach in the sense that it can involve employees.
The iPhone is a good example of incremental innovation, going from the iPhone 12 to 13 and then 14.
In which businesses does the company participate? In which direction does the company want to grow in the future? name 4 options
diversification, product development, market development, market penetration
what is diversification?
This is applied when companies wish to grow. It is the practice of introducing a new product into your supply chain in order to increase profits. These products could be a new segment of the industry your company already occupies, known as business-level diversification. Or corporate-level diversification occurs if you penetrate a new market.
what is unrelated and what is related diversification
o Unrelated, diversifying into new industries, such as Amazon entering the grocery store business with its purchase of Whole foods
o Related, diversifying into business lines in the same industry; Volkswagen acquiring Audi is an example.
regarding to diversification what is horizontal and what is vertical?
Horizontal, this involves the purchase or development of new products by the company, with the aim of selling them to existing customer groups. For example, a company that was making notebooks earlier may also enter the pen market with its new product.
Vertical, the company enters the sector of its suppliers or of its customers. For example, if you have a company that does reconstruction of houses and offices, and you start selling paints and other construction materials for use in this business.
what is product development?
Refers to the creation and testing of new products within your current market.
what is market development?
Refers to entering new markets outside of your current industry.
what is market penetration?
Refers to entering the market at an incredibly low sale price in order to price out your competitors. By this you protect and strengthen the current position of the organization. You also improve the company’s market share in the markets and with the current products.
which are the models of growth a company can use?
- Internal growth, when a business expands its own operations rather than relying on takeovers and mergers. They do it from their own skills and resources.
- External growth, acquisition, and control of part or all of another company
- Hybrid or intermediate growth/ strategic alliances, based on strategic alliances or cooperation agreements between two or more companies that share their resources. (Spotify and uber)
how do you compete in each of the businesses?
- Cost leadership
A company projects itself as the cheapest manufacturer or provider of a particular product or commodity in a competition. - Segmented cost leadership
- Differentiation
When a company, product or service stands out from the competition by meeting an unique customer need. - Segmented differentiation
what are the innovation processes models
Linear models
- Science push
- Market pull
Interactive models
- Link models
- Innovation systems
- Triple helix
- Open innovation
what does innovation effect?
- Growth
- Productivity/ competitivity
- Wellness
- Employment
- Education
- Social income distribution
what are the quality management principles?
- Customer-focused organization
- Leadership
- Staff commitment
- Focus on processes
- System approach to management
- Continuous improvement
- Decisions based on facts
- Mutually beneficial relationship with suppliers
what is total quality management?
- Give priority to continuous improvement
- The customer as the fundamental objective of quality
- Quality in all processes
- Prevention
- Everyone’s responsibility
- Support from senior management
what is ISO 9001?
ISO 9001 is the international standard for Quality management. It is part of the ISO 900 family of Quality management standards and is used by over 1 million businesses today. It delivers a system of continual improvement that is driven by your customers’ needs.
what are the benefits of iso
- Efficiency in the company’s processes or activities (cost improvement)
- Substantial improvement in customer satisfaction
- Communication tool to improve the company/brand image
- Increased market access, without border limits
- Improvement of internal communication, employee satisfaction
what is pestel?
political, economic, social, technological, ecological, legal
what is life cycle of a sector?
start, growth, maturity, decline
what are the five forces?
level of rivalry
risk of potential competitors
power of customer/buyer
power of supplier
threat of substitute
value chain: primary activities
internal logistics, operations, external logistics, marketing, services
value chain: support activities
procurement, technology development, human resources management, infrastructure
