Contrast closed and open innovation.
What will be an ideal response?
In the closed innovation model, the firm is conducting all research and development in-house, using a traditional funnel approach. Outside ideas and projects cannot enter, nor does the firm allow its own research ideas and development projects to leave the firm. This not only allows the firm to capture all the benefits from its own R&D, but also prevents competitors from benefiting from it. Open innovation is a framework for R& D that proposes permeable firm boundaries to allow a firm to benefit not only from internal ideas and inventions, but also from ideas and innovation from external sources. External sources of knowledge can be customers, suppliers, universities, start-up companies, and even competitors.
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Jenna Fountaina is a famous pop singer who has sold over 10 million copies of her hits and
enjoys a huge fanbase in the U.S. She has recently introduced her own line of fragrances and clothing, which she has designed herself. She hopes the fragrance and clothing lines will appeal to her teenage fans. Which of the following market growth strategies is Jenna employing in this case? A) market penetration B) product development C) market development D) diversification
In other countries companies will often ____________________ the brand for a fee in order to expand the brand reach.
a. License b. Royalty c. Emerge d. Sell
Which one of the following is an example of causal forecasting technique?
A) weighted moving average B) linear regression C) exponential smoothing D) Delphi method