Discuss the not-invented-here syndrome with the help of an example.
What will be an ideal response?
Student examples will vary. A sample answer follows:
Firms following the closed innovation model are at risk of falling prone to the not-invented-here syndrome: "If the R&D leading to a discovery and a new development project was not conducted in-house, it cannot be good." As documented, the pharmaceutical company Merck suffers from the not-invented-here syndrome. That is, if a product was not created and developed at Merck, it could not be good enough. Merck's culture and organizational systems perpetuate this logic, which assumes that since the company hired the best people, the smartest people in the industry must work for Merck, and so the best discoveries must be made at Merck. The company leads the industry in terms of R&D spending, because Merck believes that if it is the first to discover and develop a new drug, it would be the first to market.
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The kind of brand awareness a company wants to project is identified by:
A) area coverage. B) buyer perception. C) company organization. D) national responsiveness. E) in-house marketing.
As part of an antismoking crusade, the American Legacy Foundation hires teens as the "Truth Squad" to hand out T-shirts, bandanas, and dog tags at teen-targeted events. The American Legacy Foundation is using ________ to reach Generation Y
A) computer games B) street teams C) unconventional sports D) online buzz E) videos
When benchmarking an ideal employee, which of the following is recommended once managers in a workshop have a composite profile of an ideal employee?
a. Have each manager compare the composite to their own past behaviors before they became management. b. Have the facilitator explain that while such a composite may be ideal, it is unrealistic in its expectations of human behavior. c. Break down the composite into component parts and identify which parts are ones actually witnessed in the real operation of the company. d. Present the composite to subordinates for benchmarking and analysis.
A variable cost will be an effective cost driver
Indicate whether the statement is true or false