Capability Stretching in Product Innovation

2015 ◽  
Vol 44 (2) ◽  
pp. 784-810 ◽  
Author(s):  
Tang Wang ◽  
Yan Chen
Keyword(s):  
Vertical Integration ◽  
Product Innovation ◽  
New Products ◽  
Negative Relationship ◽  
New Product ◽  
Technological Capabilities ◽  
Technological Changes ◽  
Capability Development ◽  
Organizational Boundaries ◽  
Product Survival

Product innovation is conventionally treated as a mechanism for organizations to renew their product portfolios. In this paper, we suggest that product innovation not only enables organizations to introduce new products to the market but also challenges organizations to renew their technological capabilities. Capability stretching is the degree to which an organization extends its technological capabilities to bridge the gap between what it has already known and what the development of a new product requires it to know. Capability stretching can be challenging because it involves the acquisition and assimilation of new and distant knowledge. Drawing on a longitudinal study of product introductions in the workstation industry, we find that capability stretching reduces the chance of new product survival. Furthermore, we also find that organizational boundaries moderate the negative relationship between capability stretching and product survival: Vertical integration exacerbates this negative relationship, whereas horizontal boundary mitigates this negative relationship. However, capability stretching can also be rewarding, as it renews technological capabilities and therefore facilitates adaptation to technological changes. We draw implications for the linkages between product innovation and capability development.

The dark shadow of corruption on new product development

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Saikat Banerjee
Keyword(s):  
Product Development ◽  
New Product Development ◽  
New Products ◽  
Negative Relationship ◽  
New Product ◽  
Senior Managers ◽  
Firm Level ◽  
Theoretical Understanding ◽  
Market Strategy ◽  
Content Type

PurposeThe study examines the effects of corruption activities on new product development of firms. The roles of senior managers in the relationship between corruption activities and new product development are also studies.Design/methodology/approachThe data of Indian firms are collected from the Enterprise Survey conducted by World Bank in 2014. Variables on corruption, new product development, and other firm level factors are considered in the study. Logistic regression is used to examine the effect of firm's engagement in corruption activities on new product development.FindingsCorruption activities of firms is negatively related to new product development. Senior manager's industry experience and engagement in regulatory activities weaken the negative relationship between firm's engagement in corruption activities and new products development.Practical implicationsWith the increased focus on innovation, organizational managers have to work on the development of new products, and understanding of the negative relationship between engagement in corruption activities and new product development will help them to achieve the desired organizational goals.Originality/valueThe study contributes in three ways. Firstly, the paper extends the theoretical understanding of the implication of a non-market strategy, corruption on new product development. Secondly, the study contributes to the existing literature on the antecedents of new product development. Finally, the roles of senior managers helps to understand the importance of their industry and regulatory experience in the main relationship.

scholarly journals EMPING MADE OF CASSAVA IN SUKYAMAI VILLAGE SUB-DISTRICT PULO BANDRING DISTRICT ASSAHAN

2018 ◽  
Vol 2 (1) ◽  
pp. 158
Author(s):  
Eko Wahyu Nugrahadi ◽  
Sahat Siagian ◽  
Wahyu Tri Atmojo
Keyword(s):  
Success Rate ◽  
Sweet Potato ◽  
Product Innovation ◽  
Consumer Demand ◽  
New Products ◽  
New Product ◽  
Design Tools ◽  
Packaging Design ◽  
Innovative Products ◽  
Processed Products

AbstractGrated chips business developed by Mr. Bakri and Mrs. Armawati in Sukadamai Village Pulo Bandring District is still less developed and needs to be assisted. The process of grated chips production is still constrained by the low skills or innovation of processed products made from cassava produced. The two partners only make the grate, while the competition for this business continues to increase. Each day the chips grated production of these partners business can produce a total of 60 kg / day or 56 packs of grated chips. Beside that, there is still modern markets demand or cake shops that can not be fulfilled due to the lack of knowledge of partners about innovative products based on cassava and packaging design. In relation to the problems faced by both partners, Pak Bakri and Mrs. Armawati, then in the program of dedication to the community in accordance with the agreement of both partners have been planned and realized the existence of training and production simulation by making new products in the form of emping based sweet potato that can be produced by these two partners with total 90 kg / day or 120 packs/day using a cassava grinder. It also planned the procurement of packaging design tools to assist marketing programs in the fulfillment consumer demand of modern market or cake shops. The purpose of all these activities is to maintain the continuity of business or continuity of grated chips business developed by Mr. Bakri and Mrs. Armawati in Sukadamai Village Pulo Bandring sub-district. The success rate of this devotion program to community has been completed, such as: 1. There is a new product that can be produced by the business of Mr. Bakri and Mrs. Armawati, 2. The existence of cassava grinder, 3. The existence of packaging design tools, 4. The existence of packaging design.Keywords: Product Innovation, Emping made of Cassava, Packaging Design

scholarly journals Competence measurement of production enterprises in product innovations for technological and marketing strategies

2021 ◽  
Vol 43 ◽  
pp. 114-134
Author(s):  
Ireneusz P. Rutkowski ◽  
◽  
◽  
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Product Innovation ◽  
Information Needs ◽  
New Products ◽  
New Product ◽  
Industrial Enterprises ◽  
Industrial Companies ◽  
Product Innovations ◽  
Value Contribution

Aim/purpose – This paper attempts to arrange and present the methods of measuring the competences of production enterprises in the field of product innovations.Design/methodology/approach– The method used in this paper is a literature review, in the area of new product development management. The author assumes that the re-view and conceptual nature of this research is dominant.Findings– The obtained results indicate the importance of measurement in product innovation competencies and provide various metrics in this field. The author proposes new indicators to measure competencies in this area, i.e., the intensity of competition on new products market. Research implications/limitations– The results provide a basis for improving efforts of production enterprises in the field of product innovations. The limitations of the study include a complex character of considered theoretical constructs. Sets of measures must be adapted to the information needs of a specific enterprise.Originality/value/contribution– The values of these indicators reflect the directions of industrial enterprises’ conduct in the process of developing new products and technolo-gies. Moreover, these indicators show the strength of linking technology with the effec-tiveness of new product development, and consequently with the enterprise marketing, economic and financial efficiency. The contribution of research to the development of management sciences primarily includes the formulation of a set of indicators whose level determines product innovation competencies in industrial companies. Keywords: competence measurement, product innovation, production enterprise, new product, technical and marketing strategy.JEL Classification: O31, O32, M21

The Demand for a New Product

2018 ◽  
Author(s):  
Paul Stoneman ◽  
Eleonora Bartoloni ◽  
Maurizio Baussola
Keyword(s):  
Product Innovation ◽  
New Technologies ◽  
New Products ◽  
New Product ◽  
Learning Differences ◽  
Change Over Time ◽  
Price Expectations ◽  
Over Time

This is the first of three chapters that review the factors that drive the demand for, supply of, and the incentives to introduce new products. It explores the determination of the demand for newly launched products, with emphasis upon intertemporal development. Parallels are drawn with the literature on the diffusion of new technologies and it is emphasized how learning, differences between buyers, stock effects, order, and other effects impact upon the demand. The issue of new suppliers offering further products on the market is explored with a distinction between new to market and new to firm products and between horizontal and vertical innovations. The demand for a product innovation may change over time as products, knowledge, and the number of suppliers changes. One might expect that prices (and price expectations) play a major role in the determination of demand, but many other factors also come into play.

Product Innovation in the Crafts Sector

2019 ◽  
Vol 5 (2) ◽  
pp. 100-109
Author(s):  
Maria Sarmento ◽  
Marlene Amorim ◽  
Marta Ferreira Dias ◽  
Mara Madaleno
Keyword(s):  
Product Innovation ◽  
Consumer Preferences ◽  
New Products ◽  
European Countries ◽  
Added Value ◽  
Timely Manner ◽  
European Context ◽  
Territorial Identity ◽  
Relevant Topic ◽  
The Creation

Background: Innovation can result from progressive or significant changes to existing products leading to improvements in performance and user value. This is the type of innovation that is more easily perceived by the consumer, as it results in the creation of new products or the improvement of existing ones. Innovation in the Crafts Sector is a relevant topic to address market changes, and meet evolving consumer preferences. In this vein, artisans need to meet the calls for regularly investing in the design of new products and processes, with the purpose of achieving the sustainability of their business. Methods: This article addresses the existing calls for contextualizing the crafts sector and for fostering product innovation in this area, by investigating the barriers and problems faced by artisans, as well as by exploring existing experiences in overcoming them. The article builds on data collected in five European countries, under the scope of the Erasmus+ Project Craftsmanship+ “Fostering a New and Competitive Approach to Crafts and Semi Industrial high added-value sectors”1. Results and Conclusion: The aim is to analyze the importance of the crafts sector in a European context. This article contributes in a timely manner to the understanding of the crafts sector by paying attention to the obstacles that artisans face in order to ensure the sustainability of their business by introducing product innovation into their organization and/or market. This study offers a collection of innovation experiences in realities that are very significant for territorial identity, and thus aims to provide an incentive for further research.

The Microeconomics of Product Innovation

2018 ◽  
Author(s):  
Paul Stoneman ◽  
Eleonora Bartoloni ◽  
Maurizio Baussola
Keyword(s):  
Product Innovation ◽  
New Products ◽  
Goods And Services ◽  
Product Innovations ◽  
Microeconomic Analysis ◽  
Prime Objective ◽  
Price Measurement ◽  
The Impact

The prime objective of this book is the use microeconomic analysis to guide and provide insight into the generation and adoption of new products. Taking an approach that uses minimal formal mathematics, the volume initially addresses questions of definitions, sources, and extent of product innovation, differentiating between goods and services; hard and soft innovations; horizontal and vertical innovations; original, new to market, and new to firm innovations. The sources of product innovations (e.g. R&D, design, and creativity) are explored empirically, and the extent of such innovations is then pursued using survey and other data. Three chapters are devoted to the theoretical analysis of the demand for and supply of new products and to the determination of firms’ decisions to undertake product innovation. Later chapters encompass empirical evidence on the determination of the extent of product innovation, the diffusion of such innovation, the impact of product innovation on firm performance, price measurement, and welfare, while the final chapter addresses policy issues.

New Folk Music as Attempted Repatriation in Romania

2018 ◽  
pp. 436-452
Author(s):  
Maurice Mengel
Keyword(s):  
Mass Media ◽  
Folk Music ◽  
Cultural Policy ◽  
New Products ◽  
New Product ◽  
The State ◽  
State Institutions ◽  
The Public ◽  
Socialist State ◽  
New Form

This chapter looks at cultural policy toward folk music (muzică populară) in socialist Romania (1948–1989), covering three areas: first, the state including its intentions and actions; second, ethnomusicologists as researchers of rural peasant music and employees of the state, and, third, the public as reached by state institutions. The article argues that Soviet-induced socialist cultural policy effectively constituted a repatriation of peasant music that was systematically collected; documented and researched; intentionally transformed into new products, such as folk orchestras, to facilitate the construction of communism; and then distributed in its new form through a network of state institutions like the mass media. Sources indicate that the socialist state was partially successful in convincing its citizens about the authenticity of the new product (that new folklore was real folklore) while the original peasant music was to a large extent inaccessible to nonspecialist audiences.

Entrepreneurial Bricolage and New Product Development Performance in New Ventures: The Contingent Effects of Founding Team Involvement

2021 ◽  
Vol 0 (0) ◽  
Author(s):  
Xinchun Wang ◽  
Xiaoyu Yu ◽  
Xiaotong Meng
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Resource Constraints ◽  
New Ventures ◽  
New Products ◽  
New Product ◽  
Strategic Decision ◽  
Entrepreneurial Bricolage ◽  
Founding Team ◽  
Npd Performance

Abstract New product development (NPD) performance is a key determinant of a new venture’s success. However, compared with established firms, new ventures often suffer from resource constraints when developing new products. Entrepreneurial bricolage is reported in the literature as an alternative strategic option that enables managers to overcome resource constraints when developing new products. However, because new ventures are often founded by an entrepreneurial team, the effectiveness and efficiency of using bricolage to improve NPD performance might be contingent on how the founding team plays its roles in this process. Using data from 323 new ventures in China, we find support for the critical role of entrepreneurial bricolage in improving NPD success under resource constraints. More importantly, our results reveal that the bricolage strategy is more likely to benefit a venture when the founding team is composed of members with diverse functional backgrounds and is not heavily involved in strategic decision-making.

Sign in / Sign up

Export Citation Format

Share Document