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EXECUTIVE FORUM
Innovation Means Relying
on Everyone’s Creativity
BY MARGARET J. WHEATLEY
Innovation has always been a primary challenge of
leadership. Today we live in an era of such rapid change and
evolution that leaders must work constantly to develop the
capacity for continuous change and frequent adaptation, while
ensuring that identity and values remain constant. They must
recognize people’s innate capacity to adapt and create—to
innovate.
In my own work I am constantly and happily surprised by
how impossible it is to extinguish the human spirit. People
who had been given up for dead in their organizations, once
conditions change and they feel welcomed back in, find new
energy and become great innovators. My questions are How
do we acknowledge that everyone is a potential innovator?
How can we evoke the innate human need to innovate?
The human capacity to invent and create is universal. Ours is
a living world of continuous creation and infinite variation.
Scientists keep discovering more species; there may be more
than 50 million of them on earth, each the embodiment of an
innovation that worked. Yet when we look at our own
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species, we frequently say we’re “resistant to change.” Could
this possibly be true? Are we the only species—out of 50
million—that digs in its heels and resists? Or perhaps all
those other creatures simply went to better training programs
on “Innovation for Competitive Advantage?”
Many years ago, Joel Barker popularized the notion of
paradigms or worldviews, those beliefs and assumptions
through which we see the world and explain its processes. He
stated that when something is impossible to achieve with one
view of the world, it can be surprisingly easy to accomplish
with a new one. I have found this to be delightfully true. Now
that I understand people and organizations as living systems,
filled with the innovative dynamics characteristic of all life,
many intractable problems have become solvable. Perhaps the
most powerful example in my own work is how relatively
easy it is to create successful organizational change if you
start with the assumption that people, like all life, are creative
and good at change. Once we stop treating organizations and
people as machines and stop trying to reengineer them, once
we move into the paradigm of living systems, organizational
change is not a problem. Using this new worldview, it is
possible to create organizations filled with people who are
capable of adapting as needed, who are alert to changes in
their environment, who are able to innovate strategically. It is
possible to work with the innovative potential that exists in all
of us, and to engage that potential to solve meaningful
problems.
We are gradually giving up the paradigm that has dominated
Western culture and science for over 300 years—that of the
world and humans as machines. Almost all approaches to
management, organizational change, and human behavior
94LTL, (. T. L. S. (2013). Innovation : Essentials from leader to
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have been based on mechanistic images. When we applied
these mechanical images to us humans, we developed a
strangely negative and unfamiliar view of ourselves. We
viewed ourselves as passive, unemotional, fragmented,
incapable of self-motivation, uninterested in meaningful
questions or good work.
But the 21st-century world of complex systems and
turbulence is no place for disabling and dispiriting
mechanistic thinking. We are confronted daily by events and
outcomes that shock us and for which we have no answers.
The complexity of modern systems cannot be understood by
our old ways of separating problems, or scapegoating
individuals, or rearranging the boxes on an org chart. In a
complex system it is impossible to find simple causes that
explain our problems or to know who to blame. A messy
tangle of relationships has given rise to these unending crises.
To understand this new world of continuous change and
intimately connected systems, we need new ways of
understanding. Fortunately, life and its living systems offer us
great teachings on how to work with a world of continuous
change and boundless creativity. And foremost among life’s
teachings is the recognition that humans possess the
capabilities to deal with complexity and interconnection.
Human creativity and commitment are our greatest resources.
For several years, I have been exploring the complexities of
modern organizations through the lens of living systems. But
rather than question whether organizations are living systems,
I’ve become more confident about stating the following: the
people working in the organization are alive, and they
respond to the same needs and conditions as any other living
system. I personally don’t require any deeper level of clarity
95LTL, (. T. L. S. (2013). Innovation : Essentials from leader to
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than this. But I’d also like to note that one of the gifts of
understanding living systems is that it soon becomes evident
that life’s processes apply both to individuals and systems.
The dynamics of life are scale-independent—they are useful
to explain what we see no matter how small or large the living
system.
The new worldview of organizations as living systems rather
than machines offers many principles for leadership. Each of
these principles has affected my work in profound ways.
Together they allow leaders to accomplish our greatest
task—to create the conditions where human ingenuity can
flourish.
Meaning Engages Our
Creativity
Every change, every burst of creativity, begins with the
identification of a problem or opportunity that somebody
finds meaningful. When people become interested in an issue,
their creativity is instantly engaged. If we want people to be
innovative, we must discover what is important to them, and
we must engage them in meaningful issues. The simplest way
to discover what’s meaningful is to notice what people talk
about and where they spend their energy.
In my own work with this principle, I’ve found that I can’t
learn what is meaningful just by listening to managers’
self-reports or by taking the word of only a few people. I need
to be working alongside a group or individual to learn who
96LTL, (. T. L. S. (2013). Innovation : Essentials from leader to
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they are and what attracts their attention. As we work together
and deepen our relationship, I can then discern what issues
and behaviors make them sit up and take notice. As we work
together, doing real work, meaning always becomes visible.
For example, in meetings, what topics generate the most
energy, positive or negative? What issues do people keep
returning to? What stories do they tell over and over? I can’t
be outside the process, observing behaviors or collecting data
in traditional ways. I’ve also learned that I notice a great deal
more if I am curious rather than certain.
In any group, I know that I will always hear multiple and
diverging interpretations. Because I expect this, I now put
ideas, proposals, and issues on the table as experiments to see
what’s meaningful to people rather than as recommendations
for what should be meaningful to them. One of my favorite
examples of how easily we can be surprised by what others
find meaningful occurred among health care professionals
who were trying to convince parents of young children to use
seatbelts. But these parents were from a traditional,
non-Western culture. They did not see the act of securing
their child to a seat as protective of the child. They saw it as
invoking the wrath of God. Strapping in a child was an
invitation to God to cause a car accident.
I’ve learned how critical it is to stay open to the different
reactions I get, rather than instantly categorizing people as
resistors or allies. This is not easy—I have to constantly let go
of my assumptions and stereotypes. But when I listen actively
for diversity rather than agreement, it’s fascinating to notice
how many interpretations the different members of a group
can give to the same event. I am both astonished and
97LTL, (. T. L. S. (2013). Innovation : Essentials from leader to
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confident that no two people see the world exactly the same
way.
Depend on Diversity
Life relies on diversity to give it the possibility of adapting to
changing conditions. If a system becomes too homogenous, it
becomes vulnerable to environmental shifts. If one form is
dominant, and that form no longer works in the new
environment, the entire system is at risk. Where there is true
diversity in an organization, innovative solutions are being
created all the time, just because different people do things
differently. When the environment changes and demands a
new solution, we can count on the fact that somebody has
already invented or is already practicing that new solution.
Almost always, in a diverse organization, the solution the
organization needs is already being practiced somewhere in
that system. If, as leaders, we fail to encourage unique and
diverse ways of doing things, we destroy the entire system’s
capacity to adapt. We need people experimenting with many
different ways, just in case. And when the environment then
demands a change, we need to look deep inside our
organizations to find those solutions that have already been
prepared for us by our colleagues.
There is another reason why diversity lies at the heart of an
organization’s ability to innovate and adapt. Our
organizations and societies are now so complex, filled with so
many intertwining and diverging interests, personalities, and
issues, that nobody can confidently represent anybody else’s
point of view. Our markets and our organizations behave as
98LTL, (. T. L. S. (2013). Innovation : Essentials from leader to
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“units of one.” What this means is that nobody sees the world
exactly the same as we do. No matter how hard we try to
understand differences, there is no possibility that we can
adequately represent anybody else. But there is a simple
solution to this dilemma. We can ask people for their unique
perspective. We can invite them in to share the world as they
see it. We can listen for the differences. And we can trust that
together we can create a rich mosaic from all our unique
perspectives.
Involve Everybody Who
Cares
Working with many kinds of organizations over the past
several years, I’ve learned the hard way that building
participation is not optional. As leaders, we have no choice
but to figure out how to invite in everybody who is going to
be affected by change. Those we fail to invite into the
creation process will surely and always show up as resistors
and saboteurs. But I haven’t become insistent on broad-based
participation just to avoid resistance, or to get people to
support my efforts. I’ve learned that I’m not smart enough to
design anything for the whole system. None of us these days
can know what will work inside the dense networks we call
organizations. We can’t see what’s meaningful to people, or
even understand how they get their work done. We have no
option but to ask them into the design process.
I know from experience that most people are very
intelligent—they have figured out how to make things work
99LTL, (. T. L. S. (2013). Innovation : Essentials from leader to
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when it seemed impossible, they have invented ways to get
around roadblocks and dumb policies, they have created their
own networks to support them and help them learn. But rarely
is this visible to the organization until and unless we invite
people in to participate in solution-creation processes. The
complexity and density of organizations require that we
engage the whole system so we can harvest the invisible
intelligence that exists throughout the organization.
Fortunately, during the past ten years there has been
pioneering work (by Marvin Weisbord and Sandra Janoff,
Robert Jacobson, Kathy Dannemiller, and many others) on
how to engage large numbers of people in designing
innovations and changing themselves. Yet even in the
presence of strong evidence for how well these processes
work, most leaders still hesitate to venture down the
participation path. Leaders have had so many bad experiences
with participation that describing it as “not optional” seems
like a death sentence. But we have to accept two simple
truths: we can’t force anybody to change. And no two people
see the world the same way. We can only engage people in
the change process from the beginning and see what’s
possible. If the issue is meaningful to them, they will become
enthusiastic and bright advocates. If we want people’s
intelligence and support, we must welcome them as
co-creators. People support only what they create.
Diversity Is the Path to Unity
All change begins with a change in meaning. Yet we each see
the world differently. Is it possible to develop a sense of
100LTL, (. T. L. S. (2013). Innovation : Essentials from leader
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shared meaning without denying our diversity? Are there
ways that organizations can develop a shared sense of what’s
significant without forcing people to accept someone else’s
viewpoint?
There is a powerful paradox at work here. If we are willing to
listen eagerly for diverse interpretations, we discover that our
differing perceptions somehow originate from a unifying
center. As we become aware of this unity in diversity, it
changes our relationships for the better. We recognize that
through our diversity we share a dream, or we share a sense
of injustice. Then magical things happen to our relationships.
We open to each other as colleagues. Past hurts and negative
histories get left behind. People step forward to work
together. We don’t hang back, we don’t withdraw, we don’t
wait to be enticed. We actively seek each other out because
the problem is important. The meaningfulness of the issue
resounds more loudly than our past grievances or difficulties.
As we discover something whose importance we share, we
want to work together, no matter our differences.
I’ve been humbled to see how a group can come together as it
recognizes its mutual interests. Working together becomes
possible because people have discovered a shared meaning
for the work that is strong enough to embrace them all. Held
together in this rich center of meaning, they let go of many
interpersonal difficulties and work around traditional
hindrances. They know they need each other. They are
willing to struggle with relationships and figure out how to
make them work because they realize this is the only path to
achieving their aspirations.
101LTL, (. T. L. S. (2013). Innovation : Essentials from leader
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People Will Always Surprise
Us
Perhaps because of the study of human psychology, perhaps
because we’re just too busy to get to know each other, we
have become a society that labels people in greater and
greater detail. We know each other’s personality types,
leadership styles, syndromes, and neurotic behaviors. We are
quick to assign people to a typology and then dismiss them, as
if we really knew who they were. If we’re trying to get
something done in our organization, and things start going
badly, we hunt for scapegoats to explain why it’s not
working. We notice only those who impede our good
plans—all those “resistors,” those stubborn and scared
colleagues who cling to the past. We label ourselves also, but
more generously, as “early adopters” or “cultural creatives.”
I was recently given a T-shirt with a wonderful motto on the
back: “You can’t hate someone whose story you know.” But
these days, in our crazed haste, we don’t have time to get to
know each others’ stories, to be curious about who a person
is, or why she or he is behaving a particular way. Listening to
colleagues—their diverse interpretations, their stories, what
they find meaningful in their work—always transforms our
relationships. The act of listening to each other always brings
us closer. We many not like them or approve of their
behavior, but if we listen, we move past the labels. Our
“enemy” category shrinks in population. We notice another
human being who has a reason for certain actions, who is
trying to make some small contribution to our organization or
102LTL, (. T. L. S. (2013). Innovation : Essentials from leader
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community. The stereotypes that have divided us melt away
and we discover that we want to work together. We realize
that only by joining together will we be able to create the
change we both want to see in the world.
Rely on Human Goodness
I know that the only path to creating more innovative
workplaces and communities is to depend on one another. We
cannot cope, much less create, in this increasingly fast and
turbulent world without each other. If we try to do it alone,
we will fail.
There is no substitute for human creativity, human caring,
human will. We can be incredibly resourceful, imaginative,
and open-hearted. We can do the impossible, learn and
change quickly, and extend instant compassion to those who
are suffering. And we use these creative and compassionate
behaviors frequently. If you look at your daily life, how often
do you figure out an answer to a problem, or find a slightly
better way of doing something, or extend yourself to someone
in need? Very few people go through their days as robots,
doing only repetitive tasks, never noticing that anybody else
is nearby. Take a moment to look around at your colleagues
and neighbors, and you’ll see the same behaviors—people
trying to be useful, trying to make some small contribution,
trying to help someone else.
We have forgotten what we’re capable of, and we let our
worst natures rise to the surface. We got into this sorry state
partly because, for too long, we’ve been treating people as
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machines. We’ve forced people into tiny boxes called roles
and job descriptions. We’ve told people what to do and how
they should behave. We’ve told them they weren’t creative,
couldn’t contribute, couldn’t think.
After so many years of being bossed around, of working
within confining roles, of unending reorganization,
reengineering, downsizing, mergers, and power plays, most
people are exhausted, cynical, and focused only on
self-protection. Who wouldn’t be? But it’s important to
remember that we created these negative and demoralized
people. We created them by discounting and denying our best
human capacities.
But people are still willing to come back; they still want to
work side by side with us to find solutions, develop
innovations, make a difference in the world. We just need to
invite them back. We do this by using simple processes that
bring us together to talk to one another, listen to one another’s
stories, reflect together on what we’re learning as we do our
work. We do this by developing relationships of trust where
we do what we say, where we speak truthfully, where we
refuse to act from petty self-interest. These processes and
relationships have already been developed by many
courageous companies, leaders, and facilitators. Many
pioneers have created processes and organizations that
depend on human capacity and know how to evoke our very
best.
In my experience, people everywhere want to work together,
because daily they are overwhelmed by problems that they
can’t solve alone. People want to help. People want to
contribute. Everyone wants to feel creative and hopeful again.
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As leaders, as neighbors, as colleagues, it is time to turn to
one another, to engage in the intentional search for human
goodness. In our meetings and deliberations, we can reach out
and invite in those we have excluded. We can recognize that
no one person or leader has the answer, that we need
everybody’s creativity to find our way through this strange
new world. We can act from the certainty that most people
want to care about others, and invite them to step forward
with their compassion. We can realize that “You can’t hate
someone whose story you know.”
We are our only hope for creating a future worth working for.
We can’t go it alone, we can’t get there without each other,
and we can’t create it without relying anew on our
fundamental and precious human goodness.
Margaret J. Wheatley is president of The Berkana Institute, a
charitable global foundation. She was an organizational
consultant for many years and also a professor of
management in two graduate programs. Her work appears in
two award-winning books, “Leadership and the New
Science” and “A Simpler Way” (coauthored with Myron
Kellner-Rogers), plus several videos and articles.
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Module 3 - Background
PRINCIPLES OF MARKETING
All readings are required unless noted as “Optional” or “Not
Required.”
Introduction
In practice, Marketers use various models to describe the
different marketing functions. Some of the more popular models
are the 7 step model, STP (segmentation, targeting,
positioning), or the 4 C's (Consumer Behavior, Company
Analysis, Competitor Analysis, and Context). Each has
advantages and drawbacks regarding comprehensiveness.
Readings describing each of these models are provided in the
Optional Reading list at the end of this section. For this module,
however, we will use a model that integrates and abridges these
other models.
Consumers, Markets, and Competition
Though many people think of marketing as consisting of sales
and advertising, one of the most important marketing functions
begins even before the final product or service has been
developed. In this early stage, the organization conducts
research to determine customer needs, how the market is
structured, and the number and nature of competitors addressing
that need. As you will see below, these three topics are
intertwined.
Consumers
The purpose of marketing is to discover how to provide value to
consumers while earning a profit. Marketers must understand
the entire consumer base: the customer served by the
organization, the customer currently served by competitors, and
customers who may be served in the future. One way marketers
do this is by analyzing buyer behavior (i.e., how consumers get
information and how consumers make buying decisions).
Consumer behaviors are influenced by a number of
considerations such as psychological factors, convenience,
competing choices, and cultural preferences. Read the following
book chapter on consumer behavior.
Tanner, J., and Raymond, M. (2012). Marketing Principles (v.
2.0). Ch. 3: Consumer behavior: How people make buying
decisions. Sections 3.1-3.6. Retrieved
from https://2012books.lardbucket.org/pdfs/marketing-
principles-v2.0.pdf
Markets
Any business needs to know the characteristics of the markets
in which the firm operates. Understanding the customer and the
market requires extensive and sophisticated research efforts to
gather and analyze social and economic trends, human decision-
making, and potential competitors. The goal of market research
is to enable the firm to identify opportunities and threats in the
business environment as well as the organization’s capacity to
exploit its strengths and shore up its weaknesses.
Market research can be either primary (collected directly from
the source), or secondary (collected/published by someone
outside the organization). Some examples of secondary data
include:
· US Census
· www.Data,gov
· Internal data (such as customer cards at grocery stores that
collect data on buying patterns)
· Nielsen or Arbitron ratings
· Published articles and reports
· Blog posts
· Social media
The following chart illustrates the differences between primary
and secondary market research:
Source: http://www.mymarketresearchmethods.com/primary-
secondary-market-research-difference/
Competition
Competition is either direct or indirect. Direct competitors, such
as Coke and Pepsi, offer similar products or services. Indirect
competitors offer similar functions or meet similar needs, but
with different products, such as hardwood flooring vs. granite
countertops in a re-model. These are different products, but they
compete for the same re-modeling dollar. As we saw in Module
1, when there are substitute products, elasticity of demand is
increased. This creates a need for marketing to differentiate the
product from that of the competition.
Also relevant to understanding the competitive environment is
to know the market share of the industry players. This is
initially determined through market research. One important
way of competing is to formulate a strategy to increase market
share, because when competitors have similar products or
services, larger market share generally equates to larger profits.
Some common approaches to increasing market share are:
1. Lower production costs
2. Spend more on research
3. Spend more on equipment
4. Spend more on advertising
In analyzing the competition, the business must have a good
understanding of itself. What are its own capacities and
weaknesses? It may have the capacity to deliver the product –
but at what level? Local, regional, national, international? Mass
merchandising or boutique market niche? These decisions may
be governed by the firm’s capacity to finance its activities. The
best way to analyze the competitive situation and the firm’s
capacity to respond to internal and environmental challenges is
to conduct a SWOT analysis (Strengths, Weaknesses,
Opportunities, and Threats). For an example of a SWOT
analysis of Costco, review this report in the Trident Online
Library:
GuruFocus.com: SWOT analysis: Costco wholesale corporation.
(2015). Chatham: Newstex. Available in the Trident Online
Library.
Market Segmentation, Targets, and Positioning
Once the firm has gained a broad understanding of its customers
and competitive environment, it is time to make some more
specific decisions about the services or products it offers. The
first step is to divide the population of potential customers into
homogeneous subgroups of consumers with similar needs and
desires. This is called segmentation. The second step is to select
from among these subgroups, which one(s) the firm will serve
best. This is called the target market. Finally, the marketers
determine the approach they will take in emphasizing the value
their product/service had for the target group. This is called
positioning.
Segmentation
Many firms differentiate among their customers and offer
different products or level of service depending on customer
type. This allows the firm to direct marketing efforts effectively
and efficiently to the “right” people to maximize sales and
profit. For example, banks may offer their “preferred
customers” (large depositors or borrowers) free checking, better
interest rates, complementary safety deposit boxes, personal
bankers, etc. These perks are geared toward attracting and
keeping their most profitable customers. Other firms do not
differentiate and offer everyone the same thing. Though
segmentation may initially be more expensive than mass-
marketing, firms that segment are more profitable than those
that do not. The most common categories of segmentation are:
· Demographic (age, gender, income)
· Geographic (SMSA, census)
· Psychographic (lifestyle, personality)
· Behavioral (usage, loyalty, occasion, price consciousness)
The following video offers an excellent overview of these topic
areas:
Tutor2u (2016) Market Segmentation, Targeting and Position.
Retrieved from
https://www.youtube.com/watch?v=0srjdRDh99Y
Targeting
Once the customer base has been segmented by need and
characteristics, the firm needs to decide which group it can
pursue most successfully. Considerations include which
group(s) the firm can 1) best satisfy, 2) fit best with the firm’s
strategy, and 3) be most profitable in the future.
Many things must be considered. The fastest-growing segment
may attract more competitors and thus be more expensive to
capture and retain. Segments can also overlap. For example,
business users of internet services also make decisions about
ISP's for personal use. Another consideration is that a product
may appeal to a non-targeted segment, thus decreasing its
appeal to the targeted segment. For example, when XYZ product
becomes the product of choice of “gray hairs,” it may no longer
appeal to the 20-something demographic who were the desired
customers (think Facebook). This may require the firm to
change its strategy. Read about some of the disadvantages of
target marketing in this short article from the Houston
Chronicle:
Suttle, R. (2019). The disadvantages of target marketing. Small
Business, Chron. Retrieved from
http://smallbusiness.chron.com/disadvantages-target-marketing-
36131.html
Positioning
When the target market has been selected, the firm has a very
important decision to make. How will it position its product or
service in relationship to the other offerings in the market? This
is the essence of marketing strategy: Positioning determines
how the target will view the product or even the firm. Think of
the different images that come to mind when you think about
Target vs. Saks Fifth Avenue. Do you immediately think of
price and quality? Now consider Target vs. Walmart. Both offer
low prices, but Target emphasizes that the customer “gets more”
while paying less. They are positioning themselves for the more
discerning customer by appearing to offer better quality along
with value pricing.
Positioning maps are used by marketers to understand customer
perceptions of a marketplace and the relative positions of
different firms, products, and brands.
The following study guide illustrates how to construct a
positioning or perceptual map:
A Step-by-Step Guide to Constructing a Perceptual Map. (n.d)
Retrieved from
http://www.segmentationstudyguide.com/understanding-
perceptual-maps/a-step-by-step-guide-to-constructing-a-
perceptual-map/
The Marketing Mix
While positioning describes the firm’s strategic approach to
marketing a product or brand, the 4 P's are direct tactical
decisions regarding delivering customer value. The 4 P's are as
follows:
Product
What fundamental need does the purchase satisfy? “Product” is
more than the actual product; it can involve meeting needs for
status, convenience, reliability, ability to customize, etc. Thus,
packaging, warrantees, design, options, reputation, or customer
service may be just as important as the product itself. Branding
is an integral part of product management. Think of BMW or
Apple. What comes into your mind when you hear these names?
Our imagination translates these brands into descriptive and
evaluative phrases having to do with the qualities or attributes
of products carrying these brands. Similarly, Target, Pepsi,
McDonald's, your favorite restaurant, and even yourself can be
said to "have a brand," (i.e., be identified by certain qualities
that mean something to those who perceive these brands).
Price
To a marketer, price is more than how much the customer pays
at purchase – it also involves the time the consumer spends in
making the decision to buy, and the opportunity cost of
choosing one product over the other available choices. The
price a firm sets for a product is called pricing strategy.
Choosing the right price is a complex decision that needs to
take a number of factors into account, including the
characteristics of your target market and the overall strategy of
the firm to gain market share, given the competitive
environment. Options include skim pricing and penetration
pricing. To review some of the factors involved with pricing
strategies and gain insight into how a firm could decide which
might be appropriate, read:
Woodruff, J. (2019) Different types of pricing strategy. Chron
Retrieved from https://smallbusiness.chron.com/different-types-
pricing-strategy-4688.html
Promotion
No matter how good a product or service is – or how much
value it provides to the target market - it will not sell if people
do not know about it. This is where advertising and selling
come in. There are many approaches and tools marketers can
use in promotion. The decision depends on the firm’s strategy,
the budget, and availability. TV reaches the most people, but it
is very expensive. Personal selling by employing a sales force
can also be expensive, but the cost can be mitigated through
telemarketing and/or digital marketing online.
Coupons, discounts, and rewards programs are effective tools
and can be applied selectively at critical times during the year.
Some companies price the product very low to entice sales – but
the replacement parts may be very expensive. For example,
consider cheap razors with expensive razor blades or free
cellphones with expensive data plans.
There are basically two kinds of promotion strategies: the push
and pull strategies. Each has advantages and disadvantages. For
an explanation of the differences between the two approaches,
take a couple of minutes to read this short article from the
online Houston Chronicle:
Robertson, T. (2019). Difference between push & pull
marketing. Small Business, Chron. Retrieved
from http://smallbusiness.chron.com/difference-between-push-
pull-marketing-31806.html
Place
Few companies design a product, manufacture it, and sell it
directly to the consumer. Most rely on distributors to transport
and independently owned stores to actually sell the product.
This is termed the distribution channel. Wholesalers and
retailers are critical to the marketing function as they comprise
major parts of the distribution channel. Firms prefer that
members of the distribution channel act as partners. But when
distributors become large and powerful, an imbalance can occur,
drastically affecting the marketing strategy of the firm.
Distributors can add value in multiple ways. You can buy an
unassembled bicycle on the internet at a discount, or buy the
same bike from a specialty shop that will assemble, customize,
and service your purchase for a higher price. Some distributors
also provide logistics management to ensure the timely delivery
of the products to the consumers at the low costs. With the
popularity of Internet and e-commerce, more and more
companies deliver their products or services directly to the end
consumers, using direct distribution channels.
For more information on distribution channels, refer to the
following optional resources.
Fontelera, J. (2019). Distribution Channels and Marketing
Analysis. Retrieved
from http://smallbusiness.chron.com/distribution-channels-
marketing-analysis-60985.html
Blunt, L. (2019) Types of Marketing Channels. Retrieved
from http://smallbusiness.chron.com/types-marketing-channels-
21627.html
Quain, S. (2018). How Does Logistics Differ From
Distribution? Retrieved from
http://smallbusiness.chron.com/logistics-differ-distribution-
77542.html
For a quick review of the 4 P's of the Marketing Mix, view the
following video:
Paxton/Patterson (2017) The 4 Ps of the Marketing Mix.
Retrieved
from https://www.youtube.com/watch?v=Mco8vBAwOmA
Summary
Product, price, promotion, and place strategies are highly
interdependent. Mass distribution generally is coupled with low
price, whereas boutique or limited distribution is generally
associated with higher product and advertising prices.
Perhaps the area where these interdependencies become most
clear is when considering product life cycle. It is in the firm’s
best interest to sell the greatest number of products as long as
possible. To do this, the firm must capture the greatest market
share it can for as long as it can. Product, price, place, and
promotion must change over time through product introduction,
growth, maturity, and decline. For a summary on how the
marketing mix should change according to the product life
cycle, read:
Claessens, M. (2015) Product Life Cycle Stages (PLC) –
Managing the Product Life Cycle. Retrieved
from https://marketing-insider.eu/product-life-cycle-stages/
Finally, for an overview of general marketing topics from the
perspective of a marketeer, review the following optional
chapters:
Popky, L. (2015) Chapter 3. What hasn’t changed: Timeless
Marketing Truths. Marketing Above the Noise: Achieve
Strategic Advantage with Marketing that Matters. Bibliomotion.
Available in the Skillsoft data in the Trident University Library.
Popky, L. (2015) Chapter 4. What has changed: The New
Realities. Marketing Above the Noise: Achieve Strategic
Advantage with Marketing that Matters. Bibliomotion.
Available in the Skillsoft data in the Trident University Library.
Videos
Learnloads. (2014, March 10). What are distribution channels?
Retrieved from https://youtu.be/ALoo4vrKKUw
Marcy Research. (2018, November 8). Perceptual mapping.
Retrieved from https://youtu.be/L9hgJ-4hLYg. Standard
YouTube License.
Marketing 91. Product life cycle. Retrieved
from https://youtu.be/pq3e1b_7uho. Standard YouTube License.
Patel, N. (2019, May 8). Pricing strategies. How to price your
product or services for maximum profit. Retrieved
from https://youtu.be/0NGQLgrHRe4. Standard YouTube
License.
Paxton/Patterson. (2017). The 4 Ps of the marketing mix.
Retrieved
from https://www.youtube.com/watch?v=Mco8vBAwOmA. Stan
dard YouTube License.
The audiopedia. (2018). What is perceptuak mapping? Retrieved
from https://youtu.be/CeNpI2ufn44. Standard YouTube License.
Tutor2u (2016) Market Segmentation, Targeting and Position.
Retrieved
from https://www.youtube.com/watch?v=0srjdRDh99Y. Standar
d YouTube License.
Required Reading
A Step-by-Step Guide to Constructing a Perceptual Map. (n.d)
Retrieved from
http://www.segmentationstudyguide.com/understanding-
perceptual-maps/a-step-by-step-guide-to-constructing-a-
perceptual-map/
Kemp, E. A., Borders, A. L., Anaza, N. A., & Johnston, W. J.
(2018). The heart in organizational buying: Marketers'
understanding of emotions and decision-making of buyers. The
Journal of Business & Industrial Marketing, 33(1), 19-28.
Available in the Trident Online Library.
Paxton/Patterson. (2017). The 4 Ps of the marketing mix.
Retrieved
from https://www.youtube.com/watch?v=Mco8vBAwOmA. Stan
dard YouTube License.
Phillips, T. (2017, March 10). Digital marketing strategy: Push
vs pull? The Guardian. Available in the Trident Online Library.
Pricing strategy (2010). NetMBA. Retrieved
from http://www.netmba.com/marketing/pricing/
Suttle, R. (2015). The disadvantages of target marketing. Small
Business, Chron. Retrieved
from http://smallbusiness.chron.com/disadvantages-target-
marketing-36131.html
The product life cycle. (2010). Quick MBA. Retrieved
from http://www.quickmba.com/marketing/product/lifecycle/
Tutor2u (2016) Market Segmentation, Targeting and Position.
Retrieved
from https://www.youtube.com/watch?v=0srjdRDh99Y. Standar
d YouTube License.
Vanegas, J. G., Restrepo, J. A., Barros, G. A., & Moreno, G. A.
(2018). Service quality in Medellin hotels using perceptual
maps. Cuadernos de Administración, 34(60). Retrieved from
http://cuadernosdeadministracion.univalle.edu.co/index.php/cua
dernos_de_administracion/article/view/5927. Available in the
Trident Online Library. CC BY-NA.
Optional Reading
Annual Reports & Proxies. (2014) Walmart. Retrieved
from http://stock.walmart.com/investors/financial-
information/annual-reports-and-proxies/default.aspx
Chaffey, D. (2013) Marketing models that have stood the test of
time. Smart Insights. Retrieved
from http://www.smartinsights.com/digital-marketing-
strategy/online-business-revenue-models/marketing-models/
Cohen, H. (2013). 7 step marketing framework. Actionable
Marketing Guide. Retrieved from http://heidicohen.com/7-step-
marketing-framework/
D’Aveni, R.A. (2007). Mapping your competitive position.
Harvard Business Review. Retrieved
from https://hbr.org/2007/11/mapping-your-competitive-
position
Hanlon, A. (2013) How to use Segmentation, Targeting and
Positioning (STP) to develop marketing strategies. Smart
Insights. Retrieved from http://www.smartinsights.com/digital-
marketing-strategy/customer-segmentation-
targeting/segmentation-targeting-positioning-model/
Hanlon, A. (2015) The 4 C’s marketing model. Smart Insights.
Retrieved from http://www.smartinsights.com/marketing-
planning/marketing-models/4cs-marketing-model/
Jorina, F, (n.d.). Distribution Channels and Marketing Analysis.
Retrieved from http://smallbusiness.chron.com/distribution-
channels-marketing-analysis-60985.html
Lanee, B. (n.d.). Types of Marketing Channels. Retrieved
from http://smallbusiness.chron.com/types-marketing-channels-
21627.html
Neil, K. (n.d.). How Does Logistics Differ From Distribution?
Retrieved from http://smallbusiness.chron.com/logistics-differ-
distribution-77542.html
Respond to the attached post. Must include citations and
references. 250 words
Module 3, Week 1 Discussion
Tavis Salas posted Nov 15, 2019 7:58 PM
It’s unreal to think that fast food chains and distributors are to
blame for the obesity crisis. There are healthier options and
lifestyle alternatives open to everyone. I firmly believe that it
is a choice, and no one is FORCED to eat a certain way or
follow a specific unhealthy diet. Even though it is the
marketing that catches the consumers’ eyes with commercials,
billboards, or other means of advertising, that doesn’t mean the
public HAS to have it. It really comes down to what ideas
companies come up to better serve their customers. (Tanner &
Raymond, 2012). It’s business 101. What attracts them? How
does an organization grab the market’s attention? Businesses
only exist if society allows them to. The one thing food
marketing may do is highlight their new products. Everyone
wants to see new, and everyone wants to try something new.
Look at the noise that was made when Popeye’s released their
chicken sandwich. The public went wild! In terms of the
“obesity” crisis, companies should (and already do) make
nutrition facts available so consumers know what their products
contain. It is not their responsibility to monitor how much and
how often the public buys them. At the end of the day, a fast
food market is only concerned about profitability. Yes, I do
think it costs more to eat healthier, but a lifestyle change other
than dieting also contributes to a good fitness journey. It’s not
always about what you see, but what you decisions you can
make to better yourself. But to blame someone else for the
decisions YOU choose to make is a little far-fetched. I enjoy a
nice Big Mac from time to time, but I also know I’ll have to put
in some work in the gym…because I know McDonald’s isn’t the
reason I may or may not put on a couple pounds.
Tanner, J., and Raymond, M. (2012). Marketing Principles (v.
2.0). Ch. 3: Consumer behavior: How people make buying
decisions. Sections 3.1-3.6. Retrieved
from https://2012books.lardbucket.org/pdfs/marketing-
principles-v2.0.pdf
Journal of Management Research
Vol. 16, No. 2, April–June 2016, pp. 77–86
Nupur Sinha
Kailash B. L. Srivastava
Department of Humanities and Social Science
Indian Institute of Technology
Kharagpur-721302
Perceived Innovation Championing Strategies
and Intrapreneurial Orientation
The Role of Social Cultural Context
Nupur Sinha and Kailash B. L. Srivastava
Abstract
The study examines the impact of intrapreneurial orientation of
employees on innovation championing
strategies in Indian cultural context. The Data were collected
from 272 executives from manufacturing
sector having established record of innovation. The results show
that intrapreneurial orientation has a
significant impact on perceived cross-functional support
championing strategies, where achievement
in business/workplace produced significant and positive
association. The results also suggest that when
factors of culture were taken together with intrapreneurial
orientation factors, it showed the significant
impact on perceived cross-functional strategies. In the second
model, the cultural factors acted as
mediator for perceived locus of support strategies; where self-
serving calculative behavior producing
significant and positive results. The study has implications for
management that they need to focus on
increasing innovative behavior by developing entrepreneurial
culture at the workplace.
Keywords: Indian social cultural context, Innovation
championing strategies, Intrepreneurship
orientation, Manufacturing sector, Mediation analysis
INTRODUCTION
Innovation has become the keyword to the success
and sustenance of organizations. With the aim of
producing new products/services/processes/
strategies, organizations adapt or respond to
increased global competition, technological
advances, dynamism in market, and customers’
needs and demands (Brown and Eisenhart, 1995;
Mitchell and Goffin, 2005). Despite the awareness
of importance of innovations and investment of
enormous efforts, majority of ideas fail to be put
on the right path from their genesis (Desouza,
2011; Shane, Venkataraman, and MacMillan, 1995).
A lot of phenomena are working in between, and
studies have been directed to find out how to turn
ideas into success (Pinchot and Pellman, 1999;
Shavinina, 2003). In the process, human resources
are the main drivers of innovations, from idea
generation to implementation (Pinchot and
Pellman, 1999); and innovation requires a
coordinated interplay of the key participants (idea
generators, intrapreneurs, champions) (Sim, Griffin,
Price, and Vojak, 2007). Intrapreneurs and
innovation champions, thus, play important roles in
the revival and growth of organizations.
Intrapreneurs are credited for their innovative
spirits, who are ready to ‘go the extra mile’ for the
organization if find a synchronization between
their interests and organization’s mission (Desouza,
2011; Pinchot and Pellman, 1999). But, this
innovation calls for changes in the long established
ways of functioning in the organization (power,
systems and structure) (Howell, Shea and Higgins,
2005; Schon, 1963; Shane, Venkataraman and
MacMillan, 1995). The resistance to changes occurs
to maintain the current pace of action against the
unseen results of something ‘new’ (Van de Ven,
78 Journal of Management Research
1986). This creates the need for ‘innovation
champions’ who take personal risks to overcome all
resistances and gather all support to innovative
ideas.
The literature in the recent past has started
focusing on the two concepts, but these have not
been studied in conjunction/together. Researches
show the impact of followers’ qualities and
interests on their preferences for leaders’
characteristics and behaviors (Ehrhart and Klein,
2001; Felfe and Schyns, 2006; 2010). This study
examines the links between intrapreneurial
orientation and perceived innovation championing
strategies in organizations in India applying the
emic approach. Further the study also examines the
mediating effect the social-cultural factors on the
relationship between innovation championing
strategies and intrepreneurial orientation of
employees. This study would help to understand
the interplay of two concepts locally. First, the
background for the study would be discussed in
the next section, leading to the hypotheses.
BACKGROUND
Innovation Championing Strategies
Innovation champions are individuals who help an
innovative idea to be progressed towards success
through the organizational stages (Howell, Shea,
and Higgins, 2005; Shane, Venkataraman, and
MacMillan, 1995). They emerge informally in an
organization (Schon, 1963; Chakrabarti, 1974).
Generally, the idea generators are at the bottom-of-
the hierarchical ladder in the organizations, and it
is not easy for them to promote their ideas.
Champions fill-up this gap by reaching out to them,
and are willing to take risks by enthusiastically
promoting these ideas inside the organizations
(Howell and Boies, 2004; Jenssen and Jorgensen,
2004; Maidique, 1980). The characteristics of
innovation champions highlight their capacity to
promote an idea, get the organizational support,
persuade and influence other employees and
acquire the resources to carry it forward (Howell
and Higgins, 1990; Howell, Shea, and Higgins,
2005).
To serve the purpose, researchers have identified
various strategies employed by champions to obtain
cross-functional support, determine the locus of
support, and degrees of autonomy to be given to
the people working on innovations (Shane,
Venkataraman, and MacMillan, 1995). The
champions are effective at both the organizational
as well as individual levels; significantly influencing
the distribution of power, resources and strategies
at the former level, and motivating and gathering
support at the later level (Howell, Shea and
Higgins, 2005; Shane, Venkataraman and
MacMillam, 1995; Van de Ven, 1986). There is
often resistance for innovations in organizations, as
these pose threat to the status quo, specialized
labor, established rules, and ways of functioning of
the organizations. Champions help the innovators
to ‘shine out’ of these circumstances.
The focus on leadership studies has mostly been on
the leadership effectiveness (Bass, 1990; Bono and
Judge, 2004; Higgins, Judge and Ferris, 2003). On
the other hand, researchers have found that the
followers’ perceptions and attributes also influence
the evaluation of leadership (Ehrhart and Klein,
2001; Felfe and Schyns, 2006). Though these
results were derived from studies conducted on
transformational leadership, this study draws its
background based on the similarity between
transformational leadership and innovation
championing. The behavior of transformational
leaders has been suggested to be ‘creativity-
enhancing’, which helps the followers to grow and
produce innovatively (Bass, 1990; Howell and
Higgins, 1990). The studies on championing
strategies have focused on culture and followers’
perception of strategies (Shane, Venkataraman and
MacMillan, 1995). This study proposes to examine
the interaction of innovation championing
strategies with intrapreneurial orientation in Indian
cultural context.
Intrapreneurship Orientation
From the follower-centric perspective, implicit
leadership theories and social identity theory
background, it is suggested that the characteristics
Volume 16, Number 2 • April–June 2016 79
of followers play an important role in the
emergence of effective leaders in a specific
situation (Eden and Leviatan, 1975; Felfe and
Schyns, 2006; Haslam and Platow, 2001; Lord and
Emrich, 2000). In the context of innovations in
organizations, innovation champions and
intrapreneurs are discussed. At the employee-level,
intrapreneurship refers to the proactive and
innovative initiatives of employees within the
organizations, where-in the intrapreneur is more
inclined to act first and explain later (Shetty, 2004).
They are called ‘intra-corporate entrepeneurs’
(Pinchot and Pellman, 1999). The characteristics of
intrapreneurs are similar to entrepreneurs to a great
extent; the differences lie in the areas of action
(within the bounds of organization or outside) and
finance (Cunningham and Lischeron, 1991; Pinchot
and Pellman, 1999; Sayeed and Gazdar, 2003). The
intrapreneurs are at low risk because their risks are
covered by organizations.
Entrepreneurs have been examined from the
personality and demographic perspectives (Beaver
and Jennings, 2005; Brockhaus, 1980). Attitudes
were proposed as an alternative to these traits and
demographic perspectives (Robinson, Stimpson,
Huefner and Hunt, 1991). Attitudes are the
predisposition to respond in a generally favorable
or unfavorable manner with respect to the attitude
object (Ciccarelli and Meyer, 2008; Robbins and
Judge, 2013). Attitudes are more domain-specific
and less stable (Ajzen, 1989; Fishbein and Ajzen,
1975; Robinson et.al, 1991). Robinson, Stimpson,
Huefner and Hunt (1991) identified four subscales
for attitudes towards entrepreneurship orientation
(EAO): achievement in business, innovation in
business, perceived personal control, and perceived
self-esteem. Shetty (2004) undertook the study to
determine the entrepreneurial/intrapreneurial
attitudinal characteristics of Indian executives in IT
and Financial sectors using EAO scale. The four
attitude subscales in context of intrapreneurship
pertains to attitudes of employees at workplace.
The ‘achievement in business/work’ refers to
concrete results associated with the growth of
organizations. ‘Innovations in business/work’
relates to perceiving and acting upon the work, job
in new and unique ways. ‘Perceived personal
control’ would concern the individual’s perception
of control and influence over his/her work.
‘Perceived self-esteem’ would pertain to the self-
confidence and perceived competency of the
individual. Among these dimensions, innovation
and achievement orientations were found to be the
most prominent (Drucker, 1985; Shetty, 2004).
In the context of leader-follower relationship,
individual preferences for and reactions to leaders
are based mostly on (a) similarity attraction, and/
or (b) need satisfaction (Ehrhart and Klein, 2001;
Felfe and Schyns, 2006; 2010). The followers give
positive ratings to their leaders when there is
congruence between the followers’ and leaders’
characteristics and the leaders provide means
toward need fulfillment. Attitude theory and
research suggests that attitudes are the primary
drivers of behavior (Ajzen, 1989; Fishben and
Ajzen, 1975), and that the followers’ preferences
for leaders are likely to predict their behavior
(Robbins and Judge, 2013; Robinson et.al, 1991). In
the organizations, the favorable intrapreneurship
attitude orientation (IAO) would lead to innovative
activities with the help of supportive leader who
would overcome the obstacles raised by the
existence of specialization, systems of authority,
and routines. An innovation champion is supposed
to do these by attracting organizational members to
the innovation effort; and deciding on the degree
of autonomy from organizational norms and
routines accorded to innovation participants
(Shane, Venkataraman, and MacMillan, 1995).
Thus, IAO would be assumed to positively relate
to championing strategies.
H1: Intrapreneurial orientation factors would be
positively associated with the three championing
strategies.
INDIAN SOCIAL CULTURAL
CONTEXT (INDIAN MINDSET)
The mindset is defined as the constellation of
beliefs, preferences, practices, and action
orientation that people possess and respond to
their environment in particular ways (Sinha et al.,
80 Journal of Management Research
associates, 2010; Sinha and Pandey, 2007). Indian
mindset represents the socio-cultural aspect, which
is continuously evolving as a result of the tolerance
in Indian society (Sinha, 2008; Sinha and associates,
2010). This concept is explained on the basis of
context-sensitivity and balancing behaviors (Sinha
and Kanungo, 1997); in relation to person (patra),
time (kal), and ecological (desh) components of
environment. The ‘patra’ reflects the group-
embeddedness and hierarchy; ‘kal’ reflects the time-
perspective; and ‘desh’ component reflects the
resources.
The Hofstede’s cultural dimensions have been
primarily studied in management science (Amba-
Rao at.al, 2000; Hofstede, 1983; Hofstede, Neuijen,
Ohayv, and Sanders, 1990; Sinha, 2008), even in
relation with innovations (Elenkov and Manev,
2005; Herbig and Dunphy, 1998; Shane, 1992,
1993; Shane, Venkataraman, and MacMillan, 1995).
Researchers found that social factors played more
important role than the economic conditions in
increasing the rates of innovations in a country
(Shane, 1992; 1993; Westwood and Low, 2003); and
that individualism, acceptance of uncertainty, and
lack of power distance is important for innovations
(Shane, 1993). On the Hofstede’s dimensions, India
is high on power distance and uncertainty
avoidance, and moderately collectivistic and
masculine (Panda and Gupta, 2004). But, with the
existence of wide cultural variance within Indian
boundary, is advisable to use an emic framework
for studies in India (Sinha, 2008; Sinha and Kumar,
2004; Sinha, Sinha, Verma, and Sinha, 2001).
The socio-cultural influence on the preferences,
behavior and growth of individuals is very strong
among Indians (Banerjee, 2008; Shivani,
Mukherjee, and Sharan, 2006). In India, the
paternalistic style of leadership is prevalent (Sinha
and Sinha, 1990), where the superiors nurture and
give ‘sneh’ (affection) to their subordinates and
expect ‘shraddha’ (deference) from them. Studies
indicate that Indians are ambitious and want to
work innovatively for the development of their
organizations (Sinha and Kanungo, 1997; Sinha
et.al, 2001; Sinha and associates, 2010). The impact
of Indian mindset on the follower-leader
relationship is yet to be explored. Based on the
discussion, it is assumed that it is related to both
the followers’ and leaders’ characteristics. This
leads to the following hypothesis.
H2: Indian social cultural context (mindset)
would significantly influence the association of
intrapreneurial attitude orientation factors with
innovation championing strategies.
METHODS
Sample
The Data were collected from 272 junior and
middle level managers of 12 different
organizations across India. The descriptive
statistical analyses were conducted to find the
Table 1: Table Showing the Characteristics of the Sample
Total No. of Type of Total No. of Age Education Childhood
Family Employment
Organizations Organization Executives Place Type
12 Public (6) 272 21-35 years Graduation Village Nuclear
Public
(55.5%) (68.4%) (18.8%) Family (57.4%) (45%)
Private (6) 36-48 years PG Town/City Joint Family Private
(31.3%) (30.9%) (71%) (42.6%) (55%)
49-60 years Partly Town
(13.2%) and
Partly Vill.
(10.3%)
Volume 16, Number 2 • April–June 2016 81
demographic distribution of the sample. The
sample characteristics are given in Table 1.
Measures
The questionnaire method was used for measuring
the variables through survey. In order to
standardize every scale in the survey, five-point
Likert scale (1 representing the strongest
disagreement to 5 expressing the strongest
agreement with the respective item) was used. The
variable-wise description is as follows.
Intrapreneurial Attitude Orientation
This scale consisted of 25 items, taken from Sayeed
and Gazdar (2003) and Shetty (2004). After the
item-analysis, the number of retained items was
twenty-three. It consisted of four indices. The first
index was self-esteem, which consisted of two
items. The second index was achievement in
business/work consisting of twelve items. The
third index was perceived personal control in
business/work, which comprised of two items.
The fourth index was innovation in business which
consisted of nine items. The reliability indices of
the four sub-scales were: perceived self-esteem
(.75), achievement orientation (.86), perceived
personal control (.86), and innovation orientation
(.90).
Perceived Innovation Championing Strategies
The scale consisted of eleven items adapted from
the study of Shane, Venkataraman, and MacMillan
(1995), consisting of three sub-variables (degrees
of autonomy, cross-functional support and locus
of support). The scale of autonomy consisted of
four items. The Cronbach alpha score for this scale
was .68. The reliability of cross-functional support
Table 2: Table Showing the Inter-correlation among the
Variables
Variables Mean SD 1 2 3 4 5 6 7 8 9 10 11
1. Se 2.84 .80 1 -.01 -.02 .00 .02 .06 .01 .11 -.00 -.00 -.05
2. Ach 4.20 .47 1 .68** .78** .06 .27** .27** .17** .07 .30** -
.03
3. Pc 4.25 .68 1 .64** .07 .27** .25** .25** .12** .18** .01
4. Inn 4.00 .57 1 .02 .28** .31** .15** .09 .27** .03
5. Dup 3.77 .65 1 .19** .06 .57** .07 .07 .06
6. Cs 3.75 .49 1 .46** .39** .09 .17** .14*
7. Gab 3.80 .52 1 .18** .03 .23** .05
8. Ssc 3.78 .60 1 .18** .18** .17**
9. Aut 3.73 .66 1 .32** .40**
10. Cfs 4.28 .58 1 .03
11. Los 3.29 .73 1
Note: *Sig at .05 level **Sig at .01 level
Se = Perceived self-esteem, Ach = Achievement at workplace,
Pc = Perceived personal control,
Inn = Innovation at work, Dup = Duplicity, Cs = Context
sensitivity, Gab = Goal-achieving behavior,
Ssc = Self-serving calculative behavior, Aut = Degrees of
autonomy, Cfs = Cross-functional support,
Los = Locus of support
82 Journal of Management Research
was .76, which consisted of three items. The
Cronbach alpha for the scale of locus of support
was .73, and it comprised of four items.
Indian Mindset/Socio-cultural Factors
The scale items were adapted from Sinha and
associates (2010). The scale consisted of four
factors: duplicity (.80), context sensitivity (.78), goal
achieving behavior (.76), and self-seeking
calculative behavior (.82).
Procedure
With permission from authorities in the concerned
organizations, the survey was conducted with the
random list of employees provided by the
organizations. A total of 400 questionnaires were
distributed, but only 296 were returned. The
response rate was 74 percent. Out of this, 24 had
to be rejected because of a high rate of missing
data, leaving a sample of 272. Thus, 92 percent of
the returned questionnaires were appropriate for
further analysis in the study. The Statistical Package
for Social Sciences (SPSS) version 13.0 was used
for analyzing the Data for correlation and
regression statistics.
RESULTS AND DISCUSSION
For the purpose of the study, the correlation and
regression analyses were conducted. The Pearson’s
correlation statistic was done to find out the
correlations among the variables. The results are
given in Table 2.
The results showed that perceived degree of
autonomy strategy was positively related to
personal control (r = .12, p<H .01) and self-
serving calculative behavior (r = .18, p<H .01).
The cross-functional support strategy was found to
be positively related to achievement orientation (r=
.30, p<H .01), personal control (r = .18, p<H .01),
innovation orientation (r = .27, p<H .01), context
sensitivity (r = .17, p<H .01), goal-achieving
behavior (r = .23, p<H .01), and self-serving
calculative behavior (r= .18, p<H .01). The locus
of support was positively related to context
Table 3: Table Showing the Multiple Regression Analysis
Results with Factors of IAO as
Predictor Variables and Championing Strategies as Criterion
Variables in Model 1 and
Factors of IAO and Mindset as Predictor Variables and
Championing Strategies as
Criterion Variables in Model 2
Model 1
Aut .01 1.02 .40
Cfs .10 .27** (Ach) 7.24 .00
Los .01 .99 .41
Model 2
Aut .04 2.23* (Ssc) 1.39 .20
Cfs .14 2.73** (Ach) 5.27 .00
2.32*(Gab)
1.99* (Ssc)
Los .06 2.2* (Ssc) 1.96 .05
Note: *Sig at .05 level **Sig at .01 level
Volume 16, Number 2 • April–June 2016 83
sensitivity (r = .14, p<H .01) and self-serving
calculative behavior (r = .17, p<H .01).
The multiple regression analyses were conducted to
examine the impact of intrapreneurial attitude
orientations and socio-cultural factors on the
innovation championing strategies. The results have
been presented in two models (Table 3). In Model
1, intrapreneurial attitude orientation factors are
predictor variables. In Model 2, socio-cultural
factors along with Intrapreneurial attitude
orientation factors were inserted as predictor
variables.
In Model 1, where IAO factors were playing the
predictor role, the model was significant only with
cross-functional support strategy as criterion
variable (R² = .10, F = 7.24; p < .01). The
achievement orientation significantly and positively
predicted perception of cross-functional support
hypothesis H1 was partially supported.
In Model 2, socio-cultural factors were also used
as predictor variables. It was found that they were
acting independently, and produced no significant
impact on the relationship between IAO factors
and championing strategies. Though self-serving
calculative behavior was found to be significantly
and positively predicting the perceived degrees of
significant (R² = .04, F = 1.39, p > .05). Three
.01), goal-
and self-
< .05) were found to have significant impact on
cross-functional support strategy (R² = .14, F =
5.27, p < .01). Only self-serving calculative
significant and positive impact on locus of support
strategy (R² = .06, F = 1.96, p < .05). The results
did not support the hypothesis H2 as the socio-
cultural factors did not have any intervening impact
on the follower-leader relationship.
In the results, two variables featured prominently.
These were perceived cross-functional support on
the one hand and self-serving calculative behavior
on the other hand. In the organizations,
specialization often leads the members to a focused
view of only their work. This limits the horizontal
flow of knowledge, which blocks the cross-
functional exchange of knowledge (Shane et al.,
1995). In the context of Indian social and
organizational functioning, this would happen
often; hence, the people depend on champions to
gather the cross-functional support of knowledge
for innovations. This preference for cross-
functional support depends on the achievement
orientation, goal-achieving behavior, and self-
serving calculative behavior of employees. If the
person is willing to have achievements at work and
is also working towards it putting in all efforts, they
prefer the leaders who would take up their cause
and work towards it (Sinha and associates, 2010).
The self-serving calculative behavior wherein
people are calculative to serve their own interests
has predicted the three strategies. For making an
innovative idea work, Indians can become
calculative to get all sorts of help from authorities
through the champions. They would speak what
the leaders want to hear, take undue advantage of
innocent people, would work very hard if there is
any scope to be amply rewarded (Sinha and
associates, 2010). But, they would do all this to get
heard and make their ideas into possible
innovations. This mode of behavior pertains to the
quality of molding the environmental factors into
one’s favor, and rerouting to the enterprising
activities.
Indian organizations have also adapted to suit to
the competitive times (Sinha, 2008; Sinha and
Sinha, 1990). They are adopting the necessary
activities that would help the organizations to grow.
A few interviews were conducted with the higher
authorities in the targeted organizations to know
about the activities, supported by the study of
annual reports. It was found that there is emphasis
on “high performance culture” and relaxation in
terms of status quo. According to them, freedom
to discuss and share the knowledge among the
people of their professional unit is more important
than maintaining the unconditional distance from
seniors. In HR strategies, training and development
84 Journal of Management Research
was found to be very important for improving the
skills of employees. Performance management
systems including various awards, rewards, and
recognitions were included to encourage
employees. The organizations have either formal or
informal knowledge management systems for the
continuous flow of knowledge. These strategies
would help the hassle-free mobility of champions
to gain required knowledge, support and resources
for innovations. These would also act as
encouragement to the employees.
CONCLUSION AND IMPLICATION
This study proposed to study the impact of
intrapreneurial attitude orientations and socio-
cultural factors on preferences for innovation
championing strategies. The results of the study
brought the self-serving calculative behavior of
Indians into light, together with attitude towards
achievement orientation at work and the
preferences for strategy of cross-functional
support. Indians are very achievement-oriented,
and they work very hard towards their set goals. In
the process, they can be selfish and self-serving and
jump over any hurdles. They would want their
leaders to gather the required knowledge and
support from various departments for the cause of
innovations.
The results have implications both for
academicians and practitioners. This study
extended the research on follower-leader
relationship by including the context of innovation.
Also, the study has used an emic approach to
understand the role of socio-cultural factors in
India. A global model to study the impact of
culture has given the platform for comparing the
similarities and differences in the functioning of
organizations at the level of national culture
(Hofstede, 1983). The studies can look for more
local characteristics in the cultures which can have
their impact on organizational functions. This
study has its significance in the current business
arena where innovation has become the key to
change and sustenance for organizations. The
follower-leader relationship is important in
organizational science because it helps the leaders
to acclimatize their roles and activities, and get the
best out of their subordinates (Felfe and Schyns,
2010; Sinha, 2008). Understanding of these
relationships would help the organizations to
match and assign “right people at the right jobs”.
This study is also significant in the present scenario
when the Indian government is stressing on ‘Make
in India’ strategy, it adds to the psychological
support to the technological knowledge.
LIMITATIONS
The study has its limitations. The first limitation
relates to the measuring instrument. The
limitations of using interview schedule methods in
surveys cannot be avoided completely, though
checks in the items were included in the scales. The
Data were collected only from manufacturing
sector, and service and IT sectors were not
included in the study. The sample size was small.
Further studies can be conducted keeping in view
these limitations. Studies in different sectors with
a larger sample size can be done to validate the
results. This will broaden the scope of “best
practices in Indian organizations” in the domain of
innovation management.
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Title:
Database:
Innovation. By: Harper, Gavin D. J., MSc, Salem Press
Encyclopedia, 2019
Research Starters
Innovation
Related Information
Listen American Accent
Global rankings of innovation
cities worldwide by independent
innovation agency 2thinknow, as
published in 2007. By 2thinknow
(Own work) [GFDL
(http://www.gnu.org/copyleft/fdl.htm
or CC-BY-SA-3.0
(http://creativecommons.org/licens
sa/3.0)], via Wikimedia
Commons
Innovation is the process of developing and bringing to market
new products, services, ideas,
or solutions to problems. This is in contrast to invention, which
is the development of new
devices, methods, or techniques. Inventions are not necessarily
innovations. For an invention
to be an innovation, it must be introduced into the marketplace
and become generally
accepted.
Technology is intricately linked to the state of society
and quality of life. Understanding innovation is not just a
question of understanding business and technology, but
it is also how society responds to technological change
and the nature of socio-technical systems.
Overview
Developing innovative products can be expensive, and
success is far from guaranteed; as many as 75 percent
of new products introduced into the marketplace fail.
However, the cost of not being innovative can be just as
high; many companies fail as a result of being overtaken
in the marketplace by competitors with more innovative
products and services. Thus, understanding innovation
is important to ensure business success.
The earliest literature described the process of
innovation as linear. Invention led to innovation, which
then led to diffusion (the process of the innovation spreading
through the marketplace). Linear
models of innovation are open to many critiques because they
are so basic, yet some believe
this simplicity is an asset. One of the earliest models of
innovation was that of “technology
push,” whereby a manufacturer developed a product with
capabilities not then available in the
marketplace. This innovation would arise from improvements in
basic science and technology,
which in turn led to developing, manufacturing, and selling a
new design. A later but still
simple linear model of innovation was that of “market pull.”
Here, the innovator responds to an
existing need in the marketplace. By researching this need, new
products could be
developed, manufactured, and sold into the market. From this
early base, many more
sophisticated models of innovation have been developed.
The “S curve,” also known as a diffusion curve, is a concept
that explains the life cycle of an
innovation. Innovations have a life cycle that runs from their
debut on the market to their
replacement by newer innovations. Scholars of innovation are
interested in how innovations
are adopted and what sort of consumers will use the technology
at each stage of its life cycle.
Understanding these market segments is imperative to
successfully marketing innovations.
The technology adoption life cycle model, developed by Everett
Rogers, is a bell-shaped
curve, divided into five segments labeled innovators, early
adopters, early majority, late
majority, and laggards. Each segment has its own profile.
Geoffrey Moore, a well-known Silicon Valley technology
consultant, advanced a variation of
this model. He suggested that one of the biggest challenges is
transitioning an innovation
from the early adopters to the early majority; he calls this leap
“the chasm.”
While innovation can be physical—a new device or invention is
successfully introduced to the
marketplace, for example—it can also be “soft,” that is,
delivering enhanced outputs by
reconfiguring the way companies do business. Such innovations
are sometimes called
business model innovations, as opposed to the more
conventional technological innovations.
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Discipline of Building Breakthroughs. Hoboken: Wiley, 2013.
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Copyright of Salem Press Encyclopedia is the property of Salem
Press. The copyright in an
individual article may be maintained by the author in certain
cases. Content may not be
copied or emailed to multiple sites or posted to a listserv
without the copyright holder's
express written permission. However, users may print,
download, or email articles for
individual use. Source: Salem Press Encyclopedia, 2019, 1p
Item: 89677574
Week 4 - Assignment: Investigate Methods to Increase
Innovation and Meet Strategic Objectives
Assignment
Top of Form
Due November 24 at 11:59 PM
Bottom of Form
Assignment Instructions: For this assignment, you will act as a
consultant for your employer or the company of your choice.
Your assignment is to prepare a slide presentation with three to
five change recommendations for addressing customer needs
and building an ecosystem for innovation.
To do this, you will need to answer the following questions for
your recommendations.
· Where will your innovations take the company in the future?
· How will the changes help the company to reach consumers
and the right time?
· How will these recommendations for innovation affect the
company’s competitive advantage?
Your answers should be brief and provide a well-developed
recommendation. Please keep in mind, this is a presentation,
and you will need to include notes for your slides to share the
key details that you are not able to include in the bullets on
your slides.
Length: Your slide presentation should be 8-12 slides. This will
include a title slide and a reference slide.
References: Include at least 3-5 scholarly resources.
Your presentation should demonstrate thoughtful consideration
of the ideas and concepts presented in the course and provide
new thoughts and insights relating directly to this topic. Your
response should reflect scholarly writing and current APA
standards.
Identifying and Increasing Innovation Opportunities
One of the keys to a successful and sustainable business is the
need to identify and increase the opportunities for innovation.
Identifying opportunities for innovation is often viewed with a
perception that it is only within the domain of technology
companies to be innovative. Although innovation and
technology are not synonyms, they are often used
interchangeably. Technology is common in your jargon and
communication. You use computers, smartphones, and other
appliances that are connected to the Internet. The type of
research and development needed in this market space is all
about innovation. However, innovation can come in seemingly
non-technology related packages as well.
Almost anything that an organization can do to be more
efficient, competitive, and better focused on customer service,
all while reducing costs, can be classified as innovative.
Be sure to review this week's resources carefully.
Find a copy
Details
Subject Innovations;
Strategic planning;
Risk assessm ent;
Integration;
Target m arkets;
M anycom panies;
Product developm ent
Location United States; US
Classification 9190: United States
5400: Research & developm ent
2310: Planning
7500: Product planning & developm ent
URL https://hbr.org/2006/04/m atch-your-innovation-strategy-
to-your-innovation-ecosystem
Title M atch Your Innovation Strategy to Your Innovation
Ecosystem
Author Adner, Ron
Publication title Harvard Business Review ; Boston
Volum e 84
Issue 4
Pages 98-107
Publication year 2006
Publication date Apr 2006
Publisher Harvard Business Review
Place of publication Boston
Country of publication United States, Boston
Back to previous page
document 1 of 1
Match Your Innovation Strategy to Your Innovation Ecosystem
Adner, Ron. Harvard Business Review; Boston Vol. 84, Iss. 4,
(Apr 2006): 98-107.
Click here to request the full text article
http://illiad.ncu.edu/illiad.dll?Action= 10&Form =
22&url_ctx_fm t= ?ctx_ver= Z39.88-2004&ctx_enc=
info:ofi/enc:UTF-
8&rfr_id= info:sid/ProQ % 3Aabiglobal&rft_val_fm t=
info:ofi/fm t:kev:m tx:journal&rft.genre= article&rft.jtitle=
Harvard+ Business+ Review &rft.atitle= M atch+ Your+
Innovation+ Strategy+ t
04-01&rft.volum e= 84&rft.issue= 4&rft.spage= 98&rft.title=
Harvard+ Business+ Review &rft.issn= 00178012
Abstract
high-definition televisions should, by now, be a huge success.
Philips, Sony, and Thom son invested billions of dollars to
develop TV sets w ith astonishing picture quality. From a
technology perspective, they've succeeded: Console m
anufacturers have been ready for the m ass m arket since the
early 1990s. Yet the category has been an unm itigated failure,
not because of deficiencies, but because critical com plem ents
such as studio production equipm ent w ere not developed or
adopted in tim e. The HDTV story exem plified the
prom ise and peril of innovative ecosystem s - the collaborative
arrangem ents through w hich firm s com bine their individual
offers into a coherent, custom er-facing solution. W hen
they w ork, innovation ecosystem s allow com panies to create
value that no one firm could have created alone. But for m any
organizations the attem pt at ecosystem innovation
has been a costly failure. This is because, along w ith new
opportunities, innovation ecosystem s also present a new set of
risks that can brutally derail a firm 's best efforts.
Publication subject Business And Econom ics, Business And
Econom ics--Banking And Finance
ISSN 00178012
Source type M agazines
Language of publication English
Docum ent type Feature
Docum ent feature diagram s
ProQ uest docum ent ID 227840525
Docum ent URL http://search.proquest.com
.proxy1.ncu.edu/docview /227840525?accountid= 28180
Copyright Copyright © 2006 Harvard Business School
Publishing Corporation. All rights reserved.
Last updated 2017-12-08
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Database copyright © 2019 ProQ uest LLC. All rights reserved.
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EXECUTIVE FORUMInnovation Means Relyingon Everyone’s Cre.docx

  • 1. EXECUTIVE FORUM Innovation Means Relying on Everyone’s Creativity BY MARGARET J. WHEATLEY Innovation has always been a primary challenge of leadership. Today we live in an era of such rapid change and evolution that leaders must work constantly to develop the capacity for continuous change and frequent adaptation, while ensuring that identity and values remain constant. They must recognize people’s innate capacity to adapt and create—to innovate. In my own work I am constantly and happily surprised by how impossible it is to extinguish the human spirit. People who had been given up for dead in their organizations, once conditions change and they feel welcomed back in, find new energy and become great innovators. My questions are How do we acknowledge that everyone is a potential innovator? How can we evoke the innate human need to innovate? The human capacity to invent and create is universal. Ours is a living world of continuous creation and infinite variation. Scientists keep discovering more species; there may be more than 50 million of them on earth, each the embodiment of an innovation that worked. Yet when we look at our own 93LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25.
  • 3. ed . A ll rig ht s re se rv ed . species, we frequently say we’re “resistant to change.” Could this possibly be true? Are we the only species—out of 50 million—that digs in its heels and resists? Or perhaps all those other creatures simply went to better training programs on “Innovation for Competitive Advantage?” Many years ago, Joel Barker popularized the notion of paradigms or worldviews, those beliefs and assumptions through which we see the world and explain its processes. He stated that when something is impossible to achieve with one view of the world, it can be surprisingly easy to accomplish with a new one. I have found this to be delightfully true. Now that I understand people and organizations as living systems, filled with the innovative dynamics characteristic of all life, many intractable problems have become solvable. Perhaps the most powerful example in my own work is how relatively easy it is to create successful organizational change if you
  • 4. start with the assumption that people, like all life, are creative and good at change. Once we stop treating organizations and people as machines and stop trying to reengineer them, once we move into the paradigm of living systems, organizational change is not a problem. Using this new worldview, it is possible to create organizations filled with people who are capable of adapting as needed, who are alert to changes in their environment, who are able to innovate strategically. It is possible to work with the innovative potential that exists in all of us, and to engage that potential to solve meaningful problems. We are gradually giving up the paradigm that has dominated Western culture and science for over 300 years—that of the world and humans as machines. Almost all approaches to management, organizational change, and human behavior 94LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01 3. J
  • 6. . have been based on mechanistic images. When we applied these mechanical images to us humans, we developed a strangely negative and unfamiliar view of ourselves. We viewed ourselves as passive, unemotional, fragmented, incapable of self-motivation, uninterested in meaningful questions or good work. But the 21st-century world of complex systems and turbulence is no place for disabling and dispiriting mechanistic thinking. We are confronted daily by events and outcomes that shock us and for which we have no answers. The complexity of modern systems cannot be understood by our old ways of separating problems, or scapegoating individuals, or rearranging the boxes on an org chart. In a complex system it is impossible to find simple causes that explain our problems or to know who to blame. A messy tangle of relationships has given rise to these unending crises. To understand this new world of continuous change and intimately connected systems, we need new ways of understanding. Fortunately, life and its living systems offer us great teachings on how to work with a world of continuous change and boundless creativity. And foremost among life’s teachings is the recognition that humans possess the capabilities to deal with complexity and interconnection. Human creativity and commitment are our greatest resources. For several years, I have been exploring the complexities of modern organizations through the lens of living systems. But rather than question whether organizations are living systems, I’ve become more confident about stating the following: the people working in the organization are alive, and they respond to the same needs and conditions as any other living
  • 7. system. I personally don’t require any deeper level of clarity 95LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01 3. J oh n W ile y & S on s, In
  • 8. co rp or at ed . A ll rig ht s re se rv ed . than this. But I’d also like to note that one of the gifts of understanding living systems is that it soon becomes evident that life’s processes apply both to individuals and systems. The dynamics of life are scale-independent—they are useful to explain what we see no matter how small or large the living system. The new worldview of organizations as living systems rather than machines offers many principles for leadership. Each of these principles has affected my work in profound ways. Together they allow leaders to accomplish our greatest
  • 9. task—to create the conditions where human ingenuity can flourish. Meaning Engages Our Creativity Every change, every burst of creativity, begins with the identification of a problem or opportunity that somebody finds meaningful. When people become interested in an issue, their creativity is instantly engaged. If we want people to be innovative, we must discover what is important to them, and we must engage them in meaningful issues. The simplest way to discover what’s meaningful is to notice what people talk about and where they spend their energy. In my own work with this principle, I’ve found that I can’t learn what is meaningful just by listening to managers’ self-reports or by taking the word of only a few people. I need to be working alongside a group or individual to learn who 96LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01 3.
  • 11. ed . they are and what attracts their attention. As we work together and deepen our relationship, I can then discern what issues and behaviors make them sit up and take notice. As we work together, doing real work, meaning always becomes visible. For example, in meetings, what topics generate the most energy, positive or negative? What issues do people keep returning to? What stories do they tell over and over? I can’t be outside the process, observing behaviors or collecting data in traditional ways. I’ve also learned that I notice a great deal more if I am curious rather than certain. In any group, I know that I will always hear multiple and diverging interpretations. Because I expect this, I now put ideas, proposals, and issues on the table as experiments to see what’s meaningful to people rather than as recommendations for what should be meaningful to them. One of my favorite examples of how easily we can be surprised by what others find meaningful occurred among health care professionals who were trying to convince parents of young children to use seatbelts. But these parents were from a traditional, non-Western culture. They did not see the act of securing their child to a seat as protective of the child. They saw it as invoking the wrath of God. Strapping in a child was an invitation to God to cause a car accident. I’ve learned how critical it is to stay open to the different reactions I get, rather than instantly categorizing people as resistors or allies. This is not easy—I have to constantly let go of my assumptions and stereotypes. But when I listen actively for diversity rather than agreement, it’s fascinating to notice
  • 12. how many interpretations the different members of a group can give to the same event. I am both astonished and 97LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01 3. J oh n W ile y & S on s, In
  • 13. co rp or at ed . A ll rig ht s re se rv ed . confident that no two people see the world exactly the same way. Depend on Diversity Life relies on diversity to give it the possibility of adapting to changing conditions. If a system becomes too homogenous, it becomes vulnerable to environmental shifts. If one form is dominant, and that form no longer works in the new environment, the entire system is at risk. Where there is true diversity in an organization, innovative solutions are being
  • 14. created all the time, just because different people do things differently. When the environment changes and demands a new solution, we can count on the fact that somebody has already invented or is already practicing that new solution. Almost always, in a diverse organization, the solution the organization needs is already being practiced somewhere in that system. If, as leaders, we fail to encourage unique and diverse ways of doing things, we destroy the entire system’s capacity to adapt. We need people experimenting with many different ways, just in case. And when the environment then demands a change, we need to look deep inside our organizations to find those solutions that have already been prepared for us by our colleagues. There is another reason why diversity lies at the heart of an organization’s ability to innovate and adapt. Our organizations and societies are now so complex, filled with so many intertwining and diverging interests, personalities, and issues, that nobody can confidently represent anybody else’s point of view. Our markets and our organizations behave as 98LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01
  • 16. rv ed . “units of one.” What this means is that nobody sees the world exactly the same as we do. No matter how hard we try to understand differences, there is no possibility that we can adequately represent anybody else. But there is a simple solution to this dilemma. We can ask people for their unique perspective. We can invite them in to share the world as they see it. We can listen for the differences. And we can trust that together we can create a rich mosaic from all our unique perspectives. Involve Everybody Who Cares Working with many kinds of organizations over the past several years, I’ve learned the hard way that building participation is not optional. As leaders, we have no choice but to figure out how to invite in everybody who is going to be affected by change. Those we fail to invite into the creation process will surely and always show up as resistors and saboteurs. But I haven’t become insistent on broad-based participation just to avoid resistance, or to get people to support my efforts. I’ve learned that I’m not smart enough to design anything for the whole system. None of us these days can know what will work inside the dense networks we call organizations. We can’t see what’s meaningful to people, or even understand how they get their work done. We have no option but to ask them into the design process. I know from experience that most people are very
  • 17. intelligent—they have figured out how to make things work 99LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01 3. J oh n W ile y & S on s, In
  • 18. co rp or at ed . A ll rig ht s re se rv ed . when it seemed impossible, they have invented ways to get around roadblocks and dumb policies, they have created their own networks to support them and help them learn. But rarely is this visible to the organization until and unless we invite people in to participate in solution-creation processes. The complexity and density of organizations require that we engage the whole system so we can harvest the invisible intelligence that exists throughout the organization. Fortunately, during the past ten years there has been pioneering work (by Marvin Weisbord and Sandra Janoff,
  • 19. Robert Jacobson, Kathy Dannemiller, and many others) on how to engage large numbers of people in designing innovations and changing themselves. Yet even in the presence of strong evidence for how well these processes work, most leaders still hesitate to venture down the participation path. Leaders have had so many bad experiences with participation that describing it as “not optional” seems like a death sentence. But we have to accept two simple truths: we can’t force anybody to change. And no two people see the world the same way. We can only engage people in the change process from the beginning and see what’s possible. If the issue is meaningful to them, they will become enthusiastic and bright advocates. If we want people’s intelligence and support, we must welcome them as co-creators. People support only what they create. Diversity Is the Path to Unity All change begins with a change in meaning. Yet we each see the world differently. Is it possible to develop a sense of 100LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01
  • 21. rv ed . shared meaning without denying our diversity? Are there ways that organizations can develop a shared sense of what’s significant without forcing people to accept someone else’s viewpoint? There is a powerful paradox at work here. If we are willing to listen eagerly for diverse interpretations, we discover that our differing perceptions somehow originate from a unifying center. As we become aware of this unity in diversity, it changes our relationships for the better. We recognize that through our diversity we share a dream, or we share a sense of injustice. Then magical things happen to our relationships. We open to each other as colleagues. Past hurts and negative histories get left behind. People step forward to work together. We don’t hang back, we don’t withdraw, we don’t wait to be enticed. We actively seek each other out because the problem is important. The meaningfulness of the issue resounds more loudly than our past grievances or difficulties. As we discover something whose importance we share, we want to work together, no matter our differences. I’ve been humbled to see how a group can come together as it recognizes its mutual interests. Working together becomes possible because people have discovered a shared meaning for the work that is strong enough to embrace them all. Held together in this rich center of meaning, they let go of many interpersonal difficulties and work around traditional hindrances. They know they need each other. They are willing to struggle with relationships and figure out how to
  • 22. make them work because they realize this is the only path to achieving their aspirations. 101LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01 3. J oh n W ile y & S on s, In
  • 23. co rp or at ed . A ll rig ht s re se rv ed . People Will Always Surprise Us Perhaps because of the study of human psychology, perhaps because we’re just too busy to get to know each other, we have become a society that labels people in greater and greater detail. We know each other’s personality types, leadership styles, syndromes, and neurotic behaviors. We are quick to assign people to a typology and then dismiss them, as if we really knew who they were. If we’re trying to get something done in our organization, and things start going
  • 24. badly, we hunt for scapegoats to explain why it’s not working. We notice only those who impede our good plans—all those “resistors,” those stubborn and scared colleagues who cling to the past. We label ourselves also, but more generously, as “early adopters” or “cultural creatives.” I was recently given a T-shirt with a wonderful motto on the back: “You can’t hate someone whose story you know.” But these days, in our crazed haste, we don’t have time to get to know each others’ stories, to be curious about who a person is, or why she or he is behaving a particular way. Listening to colleagues—their diverse interpretations, their stories, what they find meaningful in their work—always transforms our relationships. The act of listening to each other always brings us closer. We many not like them or approve of their behavior, but if we listen, we move past the labels. Our “enemy” category shrinks in population. We notice another human being who has a reason for certain actions, who is trying to make some small contribution to our organization or 102LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01
  • 26. rv ed . community. The stereotypes that have divided us melt away and we discover that we want to work together. We realize that only by joining together will we be able to create the change we both want to see in the world. Rely on Human Goodness I know that the only path to creating more innovative workplaces and communities is to depend on one another. We cannot cope, much less create, in this increasingly fast and turbulent world without each other. If we try to do it alone, we will fail. There is no substitute for human creativity, human caring, human will. We can be incredibly resourceful, imaginative, and open-hearted. We can do the impossible, learn and change quickly, and extend instant compassion to those who are suffering. And we use these creative and compassionate behaviors frequently. If you look at your daily life, how often do you figure out an answer to a problem, or find a slightly better way of doing something, or extend yourself to someone in need? Very few people go through their days as robots, doing only repetitive tasks, never noticing that anybody else is nearby. Take a moment to look around at your colleagues and neighbors, and you’ll see the same behaviors—people trying to be useful, trying to make some small contribution, trying to help someone else. We have forgotten what we’re capable of, and we let our worst natures rise to the surface. We got into this sorry state
  • 27. partly because, for too long, we’ve been treating people as 103LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01 3. J oh n W ile y & S on s, In
  • 28. co rp or at ed . A ll rig ht s re se rv ed . machines. We’ve forced people into tiny boxes called roles and job descriptions. We’ve told people what to do and how they should behave. We’ve told them they weren’t creative, couldn’t contribute, couldn’t think. After so many years of being bossed around, of working within confining roles, of unending reorganization, reengineering, downsizing, mergers, and power plays, most people are exhausted, cynical, and focused only on self-protection. Who wouldn’t be? But it’s important to remember that we created these negative and demoralized
  • 29. people. We created them by discounting and denying our best human capacities. But people are still willing to come back; they still want to work side by side with us to find solutions, develop innovations, make a difference in the world. We just need to invite them back. We do this by using simple processes that bring us together to talk to one another, listen to one another’s stories, reflect together on what we’re learning as we do our work. We do this by developing relationships of trust where we do what we say, where we speak truthfully, where we refuse to act from petty self-interest. These processes and relationships have already been developed by many courageous companies, leaders, and facilitators. Many pioneers have created processes and organizations that depend on human capacity and know how to evoke our very best. In my experience, people everywhere want to work together, because daily they are overwhelmed by problems that they can’t solve alone. People want to help. People want to contribute. Everyone wants to feel creative and hopeful again. 104LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht ©
  • 31. re se rv ed . As leaders, as neighbors, as colleagues, it is time to turn to one another, to engage in the intentional search for human goodness. In our meetings and deliberations, we can reach out and invite in those we have excluded. We can recognize that no one person or leader has the answer, that we need everybody’s creativity to find our way through this strange new world. We can act from the certainty that most people want to care about others, and invite them to step forward with their compassion. We can realize that “You can’t hate someone whose story you know.” We are our only hope for creating a future worth working for. We can’t go it alone, we can’t get there without each other, and we can’t create it without relying anew on our fundamental and precious human goodness. Margaret J. Wheatley is president of The Berkana Institute, a charitable global foundation. She was an organizational consultant for many years and also a professor of management in two graduate programs. Her work appears in two award-winning books, “Leadership and the New Science” and “A Simpler Way” (coauthored with Myron Kellner-Rogers), plus several videos and articles. 105LTL, (. T. L. S. (2013). Innovation : Essentials from leader to leader. Retrieved from http://ebookcentral.proquest.com
  • 32. Created from ncent-ebooks on 2019-11-17 19:23:25. C op yr ig ht © 2 01 3. J oh n W ile y & S on s, In co rp or
  • 33. at ed . A ll rig ht s re se rv ed . Module 3 - Background PRINCIPLES OF MARKETING All readings are required unless noted as “Optional” or “Not Required.” Introduction In practice, Marketers use various models to describe the different marketing functions. Some of the more popular models are the 7 step model, STP (segmentation, targeting, positioning), or the 4 C's (Consumer Behavior, Company Analysis, Competitor Analysis, and Context). Each has advantages and drawbacks regarding comprehensiveness. Readings describing each of these models are provided in the Optional Reading list at the end of this section. For this module, however, we will use a model that integrates and abridges these other models. Consumers, Markets, and Competition
  • 34. Though many people think of marketing as consisting of sales and advertising, one of the most important marketing functions begins even before the final product or service has been developed. In this early stage, the organization conducts research to determine customer needs, how the market is structured, and the number and nature of competitors addressing that need. As you will see below, these three topics are intertwined. Consumers The purpose of marketing is to discover how to provide value to consumers while earning a profit. Marketers must understand the entire consumer base: the customer served by the organization, the customer currently served by competitors, and customers who may be served in the future. One way marketers do this is by analyzing buyer behavior (i.e., how consumers get information and how consumers make buying decisions). Consumer behaviors are influenced by a number of considerations such as psychological factors, convenience, competing choices, and cultural preferences. Read the following book chapter on consumer behavior. Tanner, J., and Raymond, M. (2012). Marketing Principles (v. 2.0). Ch. 3: Consumer behavior: How people make buying decisions. Sections 3.1-3.6. Retrieved from https://2012books.lardbucket.org/pdfs/marketing- principles-v2.0.pdf Markets Any business needs to know the characteristics of the markets in which the firm operates. Understanding the customer and the market requires extensive and sophisticated research efforts to gather and analyze social and economic trends, human decision- making, and potential competitors. The goal of market research is to enable the firm to identify opportunities and threats in the business environment as well as the organization’s capacity to exploit its strengths and shore up its weaknesses. Market research can be either primary (collected directly from the source), or secondary (collected/published by someone
  • 35. outside the organization). Some examples of secondary data include: · US Census · www.Data,gov · Internal data (such as customer cards at grocery stores that collect data on buying patterns) · Nielsen or Arbitron ratings · Published articles and reports · Blog posts · Social media The following chart illustrates the differences between primary and secondary market research: Source: http://www.mymarketresearchmethods.com/primary- secondary-market-research-difference/ Competition Competition is either direct or indirect. Direct competitors, such as Coke and Pepsi, offer similar products or services. Indirect competitors offer similar functions or meet similar needs, but with different products, such as hardwood flooring vs. granite countertops in a re-model. These are different products, but they compete for the same re-modeling dollar. As we saw in Module 1, when there are substitute products, elasticity of demand is increased. This creates a need for marketing to differentiate the product from that of the competition. Also relevant to understanding the competitive environment is to know the market share of the industry players. This is initially determined through market research. One important way of competing is to formulate a strategy to increase market share, because when competitors have similar products or services, larger market share generally equates to larger profits. Some common approaches to increasing market share are: 1. Lower production costs 2. Spend more on research 3. Spend more on equipment
  • 36. 4. Spend more on advertising In analyzing the competition, the business must have a good understanding of itself. What are its own capacities and weaknesses? It may have the capacity to deliver the product – but at what level? Local, regional, national, international? Mass merchandising or boutique market niche? These decisions may be governed by the firm’s capacity to finance its activities. The best way to analyze the competitive situation and the firm’s capacity to respond to internal and environmental challenges is to conduct a SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats). For an example of a SWOT analysis of Costco, review this report in the Trident Online Library: GuruFocus.com: SWOT analysis: Costco wholesale corporation. (2015). Chatham: Newstex. Available in the Trident Online Library. Market Segmentation, Targets, and Positioning Once the firm has gained a broad understanding of its customers and competitive environment, it is time to make some more specific decisions about the services or products it offers. The first step is to divide the population of potential customers into homogeneous subgroups of consumers with similar needs and desires. This is called segmentation. The second step is to select from among these subgroups, which one(s) the firm will serve best. This is called the target market. Finally, the marketers determine the approach they will take in emphasizing the value their product/service had for the target group. This is called positioning. Segmentation Many firms differentiate among their customers and offer different products or level of service depending on customer type. This allows the firm to direct marketing efforts effectively and efficiently to the “right” people to maximize sales and profit. For example, banks may offer their “preferred customers” (large depositors or borrowers) free checking, better interest rates, complementary safety deposit boxes, personal
  • 37. bankers, etc. These perks are geared toward attracting and keeping their most profitable customers. Other firms do not differentiate and offer everyone the same thing. Though segmentation may initially be more expensive than mass- marketing, firms that segment are more profitable than those that do not. The most common categories of segmentation are: · Demographic (age, gender, income) · Geographic (SMSA, census) · Psychographic (lifestyle, personality) · Behavioral (usage, loyalty, occasion, price consciousness) The following video offers an excellent overview of these topic areas: Tutor2u (2016) Market Segmentation, Targeting and Position. Retrieved from https://www.youtube.com/watch?v=0srjdRDh99Y Targeting Once the customer base has been segmented by need and characteristics, the firm needs to decide which group it can pursue most successfully. Considerations include which group(s) the firm can 1) best satisfy, 2) fit best with the firm’s strategy, and 3) be most profitable in the future. Many things must be considered. The fastest-growing segment may attract more competitors and thus be more expensive to capture and retain. Segments can also overlap. For example, business users of internet services also make decisions about ISP's for personal use. Another consideration is that a product may appeal to a non-targeted segment, thus decreasing its appeal to the targeted segment. For example, when XYZ product becomes the product of choice of “gray hairs,” it may no longer appeal to the 20-something demographic who were the desired customers (think Facebook). This may require the firm to change its strategy. Read about some of the disadvantages of target marketing in this short article from the Houston Chronicle: Suttle, R. (2019). The disadvantages of target marketing. Small
  • 38. Business, Chron. Retrieved from http://smallbusiness.chron.com/disadvantages-target-marketing- 36131.html Positioning When the target market has been selected, the firm has a very important decision to make. How will it position its product or service in relationship to the other offerings in the market? This is the essence of marketing strategy: Positioning determines how the target will view the product or even the firm. Think of the different images that come to mind when you think about Target vs. Saks Fifth Avenue. Do you immediately think of price and quality? Now consider Target vs. Walmart. Both offer low prices, but Target emphasizes that the customer “gets more” while paying less. They are positioning themselves for the more discerning customer by appearing to offer better quality along with value pricing. Positioning maps are used by marketers to understand customer perceptions of a marketplace and the relative positions of different firms, products, and brands. The following study guide illustrates how to construct a positioning or perceptual map: A Step-by-Step Guide to Constructing a Perceptual Map. (n.d) Retrieved from http://www.segmentationstudyguide.com/understanding- perceptual-maps/a-step-by-step-guide-to-constructing-a- perceptual-map/ The Marketing Mix While positioning describes the firm’s strategic approach to marketing a product or brand, the 4 P's are direct tactical decisions regarding delivering customer value. The 4 P's are as follows: Product What fundamental need does the purchase satisfy? “Product” is more than the actual product; it can involve meeting needs for status, convenience, reliability, ability to customize, etc. Thus, packaging, warrantees, design, options, reputation, or customer
  • 39. service may be just as important as the product itself. Branding is an integral part of product management. Think of BMW or Apple. What comes into your mind when you hear these names? Our imagination translates these brands into descriptive and evaluative phrases having to do with the qualities or attributes of products carrying these brands. Similarly, Target, Pepsi, McDonald's, your favorite restaurant, and even yourself can be said to "have a brand," (i.e., be identified by certain qualities that mean something to those who perceive these brands). Price To a marketer, price is more than how much the customer pays at purchase – it also involves the time the consumer spends in making the decision to buy, and the opportunity cost of choosing one product over the other available choices. The price a firm sets for a product is called pricing strategy. Choosing the right price is a complex decision that needs to take a number of factors into account, including the characteristics of your target market and the overall strategy of the firm to gain market share, given the competitive environment. Options include skim pricing and penetration pricing. To review some of the factors involved with pricing strategies and gain insight into how a firm could decide which might be appropriate, read: Woodruff, J. (2019) Different types of pricing strategy. Chron Retrieved from https://smallbusiness.chron.com/different-types- pricing-strategy-4688.html Promotion No matter how good a product or service is – or how much value it provides to the target market - it will not sell if people do not know about it. This is where advertising and selling come in. There are many approaches and tools marketers can use in promotion. The decision depends on the firm’s strategy, the budget, and availability. TV reaches the most people, but it is very expensive. Personal selling by employing a sales force can also be expensive, but the cost can be mitigated through telemarketing and/or digital marketing online.
  • 40. Coupons, discounts, and rewards programs are effective tools and can be applied selectively at critical times during the year. Some companies price the product very low to entice sales – but the replacement parts may be very expensive. For example, consider cheap razors with expensive razor blades or free cellphones with expensive data plans. There are basically two kinds of promotion strategies: the push and pull strategies. Each has advantages and disadvantages. For an explanation of the differences between the two approaches, take a couple of minutes to read this short article from the online Houston Chronicle: Robertson, T. (2019). Difference between push & pull marketing. Small Business, Chron. Retrieved from http://smallbusiness.chron.com/difference-between-push- pull-marketing-31806.html Place Few companies design a product, manufacture it, and sell it directly to the consumer. Most rely on distributors to transport and independently owned stores to actually sell the product. This is termed the distribution channel. Wholesalers and retailers are critical to the marketing function as they comprise major parts of the distribution channel. Firms prefer that members of the distribution channel act as partners. But when distributors become large and powerful, an imbalance can occur, drastically affecting the marketing strategy of the firm. Distributors can add value in multiple ways. You can buy an unassembled bicycle on the internet at a discount, or buy the same bike from a specialty shop that will assemble, customize, and service your purchase for a higher price. Some distributors also provide logistics management to ensure the timely delivery of the products to the consumers at the low costs. With the popularity of Internet and e-commerce, more and more companies deliver their products or services directly to the end consumers, using direct distribution channels. For more information on distribution channels, refer to the following optional resources.
  • 41. Fontelera, J. (2019). Distribution Channels and Marketing Analysis. Retrieved from http://smallbusiness.chron.com/distribution-channels- marketing-analysis-60985.html Blunt, L. (2019) Types of Marketing Channels. Retrieved from http://smallbusiness.chron.com/types-marketing-channels- 21627.html Quain, S. (2018). How Does Logistics Differ From Distribution? Retrieved from http://smallbusiness.chron.com/logistics-differ-distribution- 77542.html For a quick review of the 4 P's of the Marketing Mix, view the following video: Paxton/Patterson (2017) The 4 Ps of the Marketing Mix. Retrieved from https://www.youtube.com/watch?v=Mco8vBAwOmA Summary Product, price, promotion, and place strategies are highly interdependent. Mass distribution generally is coupled with low price, whereas boutique or limited distribution is generally associated with higher product and advertising prices. Perhaps the area where these interdependencies become most clear is when considering product life cycle. It is in the firm’s best interest to sell the greatest number of products as long as possible. To do this, the firm must capture the greatest market share it can for as long as it can. Product, price, place, and promotion must change over time through product introduction, growth, maturity, and decline. For a summary on how the marketing mix should change according to the product life cycle, read: Claessens, M. (2015) Product Life Cycle Stages (PLC) – Managing the Product Life Cycle. Retrieved from https://marketing-insider.eu/product-life-cycle-stages/ Finally, for an overview of general marketing topics from the perspective of a marketeer, review the following optional
  • 42. chapters: Popky, L. (2015) Chapter 3. What hasn’t changed: Timeless Marketing Truths. Marketing Above the Noise: Achieve Strategic Advantage with Marketing that Matters. Bibliomotion. Available in the Skillsoft data in the Trident University Library. Popky, L. (2015) Chapter 4. What has changed: The New Realities. Marketing Above the Noise: Achieve Strategic Advantage with Marketing that Matters. Bibliomotion. Available in the Skillsoft data in the Trident University Library. Videos Learnloads. (2014, March 10). What are distribution channels? Retrieved from https://youtu.be/ALoo4vrKKUw Marcy Research. (2018, November 8). Perceptual mapping. Retrieved from https://youtu.be/L9hgJ-4hLYg. Standard YouTube License. Marketing 91. Product life cycle. Retrieved from https://youtu.be/pq3e1b_7uho. Standard YouTube License. Patel, N. (2019, May 8). Pricing strategies. How to price your product or services for maximum profit. Retrieved from https://youtu.be/0NGQLgrHRe4. Standard YouTube License. Paxton/Patterson. (2017). The 4 Ps of the marketing mix. Retrieved from https://www.youtube.com/watch?v=Mco8vBAwOmA. Stan dard YouTube License. The audiopedia. (2018). What is perceptuak mapping? Retrieved from https://youtu.be/CeNpI2ufn44. Standard YouTube License. Tutor2u (2016) Market Segmentation, Targeting and Position. Retrieved from https://www.youtube.com/watch?v=0srjdRDh99Y. Standar d YouTube License. Required Reading A Step-by-Step Guide to Constructing a Perceptual Map. (n.d) Retrieved from http://www.segmentationstudyguide.com/understanding- perceptual-maps/a-step-by-step-guide-to-constructing-a-
  • 43. perceptual-map/ Kemp, E. A., Borders, A. L., Anaza, N. A., & Johnston, W. J. (2018). The heart in organizational buying: Marketers' understanding of emotions and decision-making of buyers. The Journal of Business & Industrial Marketing, 33(1), 19-28. Available in the Trident Online Library. Paxton/Patterson. (2017). The 4 Ps of the marketing mix. Retrieved from https://www.youtube.com/watch?v=Mco8vBAwOmA. Stan dard YouTube License. Phillips, T. (2017, March 10). Digital marketing strategy: Push vs pull? The Guardian. Available in the Trident Online Library. Pricing strategy (2010). NetMBA. Retrieved from http://www.netmba.com/marketing/pricing/ Suttle, R. (2015). The disadvantages of target marketing. Small Business, Chron. Retrieved from http://smallbusiness.chron.com/disadvantages-target- marketing-36131.html The product life cycle. (2010). Quick MBA. Retrieved from http://www.quickmba.com/marketing/product/lifecycle/ Tutor2u (2016) Market Segmentation, Targeting and Position. Retrieved from https://www.youtube.com/watch?v=0srjdRDh99Y. Standar d YouTube License. Vanegas, J. G., Restrepo, J. A., Barros, G. A., & Moreno, G. A. (2018). Service quality in Medellin hotels using perceptual maps. Cuadernos de Administración, 34(60). Retrieved from http://cuadernosdeadministracion.univalle.edu.co/index.php/cua dernos_de_administracion/article/view/5927. Available in the Trident Online Library. CC BY-NA. Optional Reading Annual Reports & Proxies. (2014) Walmart. Retrieved from http://stock.walmart.com/investors/financial- information/annual-reports-and-proxies/default.aspx Chaffey, D. (2013) Marketing models that have stood the test of time. Smart Insights. Retrieved
  • 44. from http://www.smartinsights.com/digital-marketing- strategy/online-business-revenue-models/marketing-models/ Cohen, H. (2013). 7 step marketing framework. Actionable Marketing Guide. Retrieved from http://heidicohen.com/7-step- marketing-framework/ D’Aveni, R.A. (2007). Mapping your competitive position. Harvard Business Review. Retrieved from https://hbr.org/2007/11/mapping-your-competitive- position Hanlon, A. (2013) How to use Segmentation, Targeting and Positioning (STP) to develop marketing strategies. Smart Insights. Retrieved from http://www.smartinsights.com/digital- marketing-strategy/customer-segmentation- targeting/segmentation-targeting-positioning-model/ Hanlon, A. (2015) The 4 C’s marketing model. Smart Insights. Retrieved from http://www.smartinsights.com/marketing- planning/marketing-models/4cs-marketing-model/ Jorina, F, (n.d.). Distribution Channels and Marketing Analysis. Retrieved from http://smallbusiness.chron.com/distribution- channels-marketing-analysis-60985.html Lanee, B. (n.d.). Types of Marketing Channels. Retrieved from http://smallbusiness.chron.com/types-marketing-channels- 21627.html Neil, K. (n.d.). How Does Logistics Differ From Distribution? Retrieved from http://smallbusiness.chron.com/logistics-differ- distribution-77542.html Respond to the attached post. Must include citations and references. 250 words Module 3, Week 1 Discussion Tavis Salas posted Nov 15, 2019 7:58 PM It’s unreal to think that fast food chains and distributors are to blame for the obesity crisis. There are healthier options and
  • 45. lifestyle alternatives open to everyone. I firmly believe that it is a choice, and no one is FORCED to eat a certain way or follow a specific unhealthy diet. Even though it is the marketing that catches the consumers’ eyes with commercials, billboards, or other means of advertising, that doesn’t mean the public HAS to have it. It really comes down to what ideas companies come up to better serve their customers. (Tanner & Raymond, 2012). It’s business 101. What attracts them? How does an organization grab the market’s attention? Businesses only exist if society allows them to. The one thing food marketing may do is highlight their new products. Everyone wants to see new, and everyone wants to try something new. Look at the noise that was made when Popeye’s released their chicken sandwich. The public went wild! In terms of the “obesity” crisis, companies should (and already do) make nutrition facts available so consumers know what their products contain. It is not their responsibility to monitor how much and how often the public buys them. At the end of the day, a fast food market is only concerned about profitability. Yes, I do think it costs more to eat healthier, but a lifestyle change other than dieting also contributes to a good fitness journey. It’s not always about what you see, but what you decisions you can make to better yourself. But to blame someone else for the decisions YOU choose to make is a little far-fetched. I enjoy a nice Big Mac from time to time, but I also know I’ll have to put in some work in the gym…because I know McDonald’s isn’t the reason I may or may not put on a couple pounds. Tanner, J., and Raymond, M. (2012). Marketing Principles (v. 2.0). Ch. 3: Consumer behavior: How people make buying decisions. Sections 3.1-3.6. Retrieved from https://2012books.lardbucket.org/pdfs/marketing- principles-v2.0.pdf
  • 46. Journal of Management Research Vol. 16, No. 2, April–June 2016, pp. 77–86 Nupur Sinha Kailash B. L. Srivastava Department of Humanities and Social Science Indian Institute of Technology Kharagpur-721302 Perceived Innovation Championing Strategies and Intrapreneurial Orientation The Role of Social Cultural Context Nupur Sinha and Kailash B. L. Srivastava Abstract The study examines the impact of intrapreneurial orientation of employees on innovation championing strategies in Indian cultural context. The Data were collected from 272 executives from manufacturing sector having established record of innovation. The results show that intrapreneurial orientation has a significant impact on perceived cross-functional support championing strategies, where achievement in business/workplace produced significant and positive association. The results also suggest that when factors of culture were taken together with intrapreneurial orientation factors, it showed the significant impact on perceived cross-functional strategies. In the second model, the cultural factors acted as mediator for perceived locus of support strategies; where self- serving calculative behavior producing significant and positive results. The study has implications for management that they need to focus on
  • 47. increasing innovative behavior by developing entrepreneurial culture at the workplace. Keywords: Indian social cultural context, Innovation championing strategies, Intrepreneurship orientation, Manufacturing sector, Mediation analysis INTRODUCTION Innovation has become the keyword to the success and sustenance of organizations. With the aim of producing new products/services/processes/ strategies, organizations adapt or respond to increased global competition, technological advances, dynamism in market, and customers’ needs and demands (Brown and Eisenhart, 1995; Mitchell and Goffin, 2005). Despite the awareness of importance of innovations and investment of enormous efforts, majority of ideas fail to be put on the right path from their genesis (Desouza, 2011; Shane, Venkataraman, and MacMillan, 1995). A lot of phenomena are working in between, and studies have been directed to find out how to turn ideas into success (Pinchot and Pellman, 1999; Shavinina, 2003). In the process, human resources are the main drivers of innovations, from idea generation to implementation (Pinchot and Pellman, 1999); and innovation requires a coordinated interplay of the key participants (idea generators, intrapreneurs, champions) (Sim, Griffin, Price, and Vojak, 2007). Intrapreneurs and innovation champions, thus, play important roles in the revival and growth of organizations. Intrapreneurs are credited for their innovative spirits, who are ready to ‘go the extra mile’ for the
  • 48. organization if find a synchronization between their interests and organization’s mission (Desouza, 2011; Pinchot and Pellman, 1999). But, this innovation calls for changes in the long established ways of functioning in the organization (power, systems and structure) (Howell, Shea and Higgins, 2005; Schon, 1963; Shane, Venkataraman and MacMillan, 1995). The resistance to changes occurs to maintain the current pace of action against the unseen results of something ‘new’ (Van de Ven, 78 Journal of Management Research 1986). This creates the need for ‘innovation champions’ who take personal risks to overcome all resistances and gather all support to innovative ideas. The literature in the recent past has started focusing on the two concepts, but these have not been studied in conjunction/together. Researches show the impact of followers’ qualities and interests on their preferences for leaders’ characteristics and behaviors (Ehrhart and Klein, 2001; Felfe and Schyns, 2006; 2010). This study examines the links between intrapreneurial orientation and perceived innovation championing strategies in organizations in India applying the emic approach. Further the study also examines the mediating effect the social-cultural factors on the relationship between innovation championing strategies and intrepreneurial orientation of employees. This study would help to understand the interplay of two concepts locally. First, the
  • 49. background for the study would be discussed in the next section, leading to the hypotheses. BACKGROUND Innovation Championing Strategies Innovation champions are individuals who help an innovative idea to be progressed towards success through the organizational stages (Howell, Shea, and Higgins, 2005; Shane, Venkataraman, and MacMillan, 1995). They emerge informally in an organization (Schon, 1963; Chakrabarti, 1974). Generally, the idea generators are at the bottom-of- the hierarchical ladder in the organizations, and it is not easy for them to promote their ideas. Champions fill-up this gap by reaching out to them, and are willing to take risks by enthusiastically promoting these ideas inside the organizations (Howell and Boies, 2004; Jenssen and Jorgensen, 2004; Maidique, 1980). The characteristics of innovation champions highlight their capacity to promote an idea, get the organizational support, persuade and influence other employees and acquire the resources to carry it forward (Howell and Higgins, 1990; Howell, Shea, and Higgins, 2005). To serve the purpose, researchers have identified various strategies employed by champions to obtain cross-functional support, determine the locus of support, and degrees of autonomy to be given to the people working on innovations (Shane, Venkataraman, and MacMillan, 1995). The champions are effective at both the organizational as well as individual levels; significantly influencing the distribution of power, resources and strategies
  • 50. at the former level, and motivating and gathering support at the later level (Howell, Shea and Higgins, 2005; Shane, Venkataraman and MacMillam, 1995; Van de Ven, 1986). There is often resistance for innovations in organizations, as these pose threat to the status quo, specialized labor, established rules, and ways of functioning of the organizations. Champions help the innovators to ‘shine out’ of these circumstances. The focus on leadership studies has mostly been on the leadership effectiveness (Bass, 1990; Bono and Judge, 2004; Higgins, Judge and Ferris, 2003). On the other hand, researchers have found that the followers’ perceptions and attributes also influence the evaluation of leadership (Ehrhart and Klein, 2001; Felfe and Schyns, 2006). Though these results were derived from studies conducted on transformational leadership, this study draws its background based on the similarity between transformational leadership and innovation championing. The behavior of transformational leaders has been suggested to be ‘creativity- enhancing’, which helps the followers to grow and produce innovatively (Bass, 1990; Howell and Higgins, 1990). The studies on championing strategies have focused on culture and followers’ perception of strategies (Shane, Venkataraman and MacMillan, 1995). This study proposes to examine the interaction of innovation championing strategies with intrapreneurial orientation in Indian cultural context. Intrapreneurship Orientation From the follower-centric perspective, implicit leadership theories and social identity theory
  • 51. background, it is suggested that the characteristics Volume 16, Number 2 • April–June 2016 79 of followers play an important role in the emergence of effective leaders in a specific situation (Eden and Leviatan, 1975; Felfe and Schyns, 2006; Haslam and Platow, 2001; Lord and Emrich, 2000). In the context of innovations in organizations, innovation champions and intrapreneurs are discussed. At the employee-level, intrapreneurship refers to the proactive and innovative initiatives of employees within the organizations, where-in the intrapreneur is more inclined to act first and explain later (Shetty, 2004). They are called ‘intra-corporate entrepeneurs’ (Pinchot and Pellman, 1999). The characteristics of intrapreneurs are similar to entrepreneurs to a great extent; the differences lie in the areas of action (within the bounds of organization or outside) and finance (Cunningham and Lischeron, 1991; Pinchot and Pellman, 1999; Sayeed and Gazdar, 2003). The intrapreneurs are at low risk because their risks are covered by organizations. Entrepreneurs have been examined from the personality and demographic perspectives (Beaver and Jennings, 2005; Brockhaus, 1980). Attitudes were proposed as an alternative to these traits and demographic perspectives (Robinson, Stimpson, Huefner and Hunt, 1991). Attitudes are the predisposition to respond in a generally favorable or unfavorable manner with respect to the attitude object (Ciccarelli and Meyer, 2008; Robbins and
  • 52. Judge, 2013). Attitudes are more domain-specific and less stable (Ajzen, 1989; Fishbein and Ajzen, 1975; Robinson et.al, 1991). Robinson, Stimpson, Huefner and Hunt (1991) identified four subscales for attitudes towards entrepreneurship orientation (EAO): achievement in business, innovation in business, perceived personal control, and perceived self-esteem. Shetty (2004) undertook the study to determine the entrepreneurial/intrapreneurial attitudinal characteristics of Indian executives in IT and Financial sectors using EAO scale. The four attitude subscales in context of intrapreneurship pertains to attitudes of employees at workplace. The ‘achievement in business/work’ refers to concrete results associated with the growth of organizations. ‘Innovations in business/work’ relates to perceiving and acting upon the work, job in new and unique ways. ‘Perceived personal control’ would concern the individual’s perception of control and influence over his/her work. ‘Perceived self-esteem’ would pertain to the self- confidence and perceived competency of the individual. Among these dimensions, innovation and achievement orientations were found to be the most prominent (Drucker, 1985; Shetty, 2004). In the context of leader-follower relationship, individual preferences for and reactions to leaders are based mostly on (a) similarity attraction, and/ or (b) need satisfaction (Ehrhart and Klein, 2001; Felfe and Schyns, 2006; 2010). The followers give positive ratings to their leaders when there is congruence between the followers’ and leaders’ characteristics and the leaders provide means toward need fulfillment. Attitude theory and
  • 53. research suggests that attitudes are the primary drivers of behavior (Ajzen, 1989; Fishben and Ajzen, 1975), and that the followers’ preferences for leaders are likely to predict their behavior (Robbins and Judge, 2013; Robinson et.al, 1991). In the organizations, the favorable intrapreneurship attitude orientation (IAO) would lead to innovative activities with the help of supportive leader who would overcome the obstacles raised by the existence of specialization, systems of authority, and routines. An innovation champion is supposed to do these by attracting organizational members to the innovation effort; and deciding on the degree of autonomy from organizational norms and routines accorded to innovation participants (Shane, Venkataraman, and MacMillan, 1995). Thus, IAO would be assumed to positively relate to championing strategies. H1: Intrapreneurial orientation factors would be positively associated with the three championing strategies. INDIAN SOCIAL CULTURAL CONTEXT (INDIAN MINDSET) The mindset is defined as the constellation of beliefs, preferences, practices, and action orientation that people possess and respond to their environment in particular ways (Sinha et al., 80 Journal of Management Research associates, 2010; Sinha and Pandey, 2007). Indian
  • 54. mindset represents the socio-cultural aspect, which is continuously evolving as a result of the tolerance in Indian society (Sinha, 2008; Sinha and associates, 2010). This concept is explained on the basis of context-sensitivity and balancing behaviors (Sinha and Kanungo, 1997); in relation to person (patra), time (kal), and ecological (desh) components of environment. The ‘patra’ reflects the group- embeddedness and hierarchy; ‘kal’ reflects the time- perspective; and ‘desh’ component reflects the resources. The Hofstede’s cultural dimensions have been primarily studied in management science (Amba- Rao at.al, 2000; Hofstede, 1983; Hofstede, Neuijen, Ohayv, and Sanders, 1990; Sinha, 2008), even in relation with innovations (Elenkov and Manev, 2005; Herbig and Dunphy, 1998; Shane, 1992, 1993; Shane, Venkataraman, and MacMillan, 1995). Researchers found that social factors played more important role than the economic conditions in increasing the rates of innovations in a country (Shane, 1992; 1993; Westwood and Low, 2003); and that individualism, acceptance of uncertainty, and lack of power distance is important for innovations (Shane, 1993). On the Hofstede’s dimensions, India is high on power distance and uncertainty avoidance, and moderately collectivistic and masculine (Panda and Gupta, 2004). But, with the existence of wide cultural variance within Indian boundary, is advisable to use an emic framework for studies in India (Sinha, 2008; Sinha and Kumar, 2004; Sinha, Sinha, Verma, and Sinha, 2001). The socio-cultural influence on the preferences,
  • 55. behavior and growth of individuals is very strong among Indians (Banerjee, 2008; Shivani, Mukherjee, and Sharan, 2006). In India, the paternalistic style of leadership is prevalent (Sinha and Sinha, 1990), where the superiors nurture and give ‘sneh’ (affection) to their subordinates and expect ‘shraddha’ (deference) from them. Studies indicate that Indians are ambitious and want to work innovatively for the development of their organizations (Sinha and Kanungo, 1997; Sinha et.al, 2001; Sinha and associates, 2010). The impact of Indian mindset on the follower-leader relationship is yet to be explored. Based on the discussion, it is assumed that it is related to both the followers’ and leaders’ characteristics. This leads to the following hypothesis. H2: Indian social cultural context (mindset) would significantly influence the association of intrapreneurial attitude orientation factors with innovation championing strategies. METHODS Sample The Data were collected from 272 junior and middle level managers of 12 different organizations across India. The descriptive statistical analyses were conducted to find the Table 1: Table Showing the Characteristics of the Sample Total No. of Type of Total No. of Age Education Childhood Family Employment Organizations Organization Executives Place Type
  • 56. 12 Public (6) 272 21-35 years Graduation Village Nuclear Public (55.5%) (68.4%) (18.8%) Family (57.4%) (45%) Private (6) 36-48 years PG Town/City Joint Family Private (31.3%) (30.9%) (71%) (42.6%) (55%) 49-60 years Partly Town (13.2%) and Partly Vill. (10.3%) Volume 16, Number 2 • April–June 2016 81 demographic distribution of the sample. The sample characteristics are given in Table 1. Measures The questionnaire method was used for measuring the variables through survey. In order to standardize every scale in the survey, five-point Likert scale (1 representing the strongest disagreement to 5 expressing the strongest agreement with the respective item) was used. The variable-wise description is as follows. Intrapreneurial Attitude Orientation This scale consisted of 25 items, taken from Sayeed and Gazdar (2003) and Shetty (2004). After the item-analysis, the number of retained items was twenty-three. It consisted of four indices. The first index was self-esteem, which consisted of two
  • 57. items. The second index was achievement in business/work consisting of twelve items. The third index was perceived personal control in business/work, which comprised of two items. The fourth index was innovation in business which consisted of nine items. The reliability indices of the four sub-scales were: perceived self-esteem (.75), achievement orientation (.86), perceived personal control (.86), and innovation orientation (.90). Perceived Innovation Championing Strategies The scale consisted of eleven items adapted from the study of Shane, Venkataraman, and MacMillan (1995), consisting of three sub-variables (degrees of autonomy, cross-functional support and locus of support). The scale of autonomy consisted of four items. The Cronbach alpha score for this scale was .68. The reliability of cross-functional support Table 2: Table Showing the Inter-correlation among the Variables Variables Mean SD 1 2 3 4 5 6 7 8 9 10 11 1. Se 2.84 .80 1 -.01 -.02 .00 .02 .06 .01 .11 -.00 -.00 -.05 2. Ach 4.20 .47 1 .68** .78** .06 .27** .27** .17** .07 .30** - .03 3. Pc 4.25 .68 1 .64** .07 .27** .25** .25** .12** .18** .01 4. Inn 4.00 .57 1 .02 .28** .31** .15** .09 .27** .03
  • 58. 5. Dup 3.77 .65 1 .19** .06 .57** .07 .07 .06 6. Cs 3.75 .49 1 .46** .39** .09 .17** .14* 7. Gab 3.80 .52 1 .18** .03 .23** .05 8. Ssc 3.78 .60 1 .18** .18** .17** 9. Aut 3.73 .66 1 .32** .40** 10. Cfs 4.28 .58 1 .03 11. Los 3.29 .73 1 Note: *Sig at .05 level **Sig at .01 level Se = Perceived self-esteem, Ach = Achievement at workplace, Pc = Perceived personal control, Inn = Innovation at work, Dup = Duplicity, Cs = Context sensitivity, Gab = Goal-achieving behavior, Ssc = Self-serving calculative behavior, Aut = Degrees of autonomy, Cfs = Cross-functional support, Los = Locus of support 82 Journal of Management Research was .76, which consisted of three items. The Cronbach alpha for the scale of locus of support was .73, and it comprised of four items. Indian Mindset/Socio-cultural Factors The scale items were adapted from Sinha and associates (2010). The scale consisted of four factors: duplicity (.80), context sensitivity (.78), goal
  • 59. achieving behavior (.76), and self-seeking calculative behavior (.82). Procedure With permission from authorities in the concerned organizations, the survey was conducted with the random list of employees provided by the organizations. A total of 400 questionnaires were distributed, but only 296 were returned. The response rate was 74 percent. Out of this, 24 had to be rejected because of a high rate of missing data, leaving a sample of 272. Thus, 92 percent of the returned questionnaires were appropriate for further analysis in the study. The Statistical Package for Social Sciences (SPSS) version 13.0 was used for analyzing the Data for correlation and regression statistics. RESULTS AND DISCUSSION For the purpose of the study, the correlation and regression analyses were conducted. The Pearson’s correlation statistic was done to find out the correlations among the variables. The results are given in Table 2. The results showed that perceived degree of autonomy strategy was positively related to personal control (r = .12, p<H .01) and self- serving calculative behavior (r = .18, p<H .01). The cross-functional support strategy was found to be positively related to achievement orientation (r= .30, p<H .01), personal control (r = .18, p<H .01), innovation orientation (r = .27, p<H .01), context sensitivity (r = .17, p<H .01), goal-achieving behavior (r = .23, p<H .01), and self-serving
  • 60. calculative behavior (r= .18, p<H .01). The locus of support was positively related to context Table 3: Table Showing the Multiple Regression Analysis Results with Factors of IAO as Predictor Variables and Championing Strategies as Criterion Variables in Model 1 and Factors of IAO and Mindset as Predictor Variables and Championing Strategies as Criterion Variables in Model 2 Model 1 Aut .01 1.02 .40 Cfs .10 .27** (Ach) 7.24 .00 Los .01 .99 .41 Model 2 Aut .04 2.23* (Ssc) 1.39 .20 Cfs .14 2.73** (Ach) 5.27 .00 2.32*(Gab) 1.99* (Ssc) Los .06 2.2* (Ssc) 1.96 .05 Note: *Sig at .05 level **Sig at .01 level
  • 61. Volume 16, Number 2 • April–June 2016 83 sensitivity (r = .14, p<H .01) and self-serving calculative behavior (r = .17, p<H .01). The multiple regression analyses were conducted to examine the impact of intrapreneurial attitude orientations and socio-cultural factors on the innovation championing strategies. The results have been presented in two models (Table 3). In Model 1, intrapreneurial attitude orientation factors are predictor variables. In Model 2, socio-cultural factors along with Intrapreneurial attitude orientation factors were inserted as predictor variables. In Model 1, where IAO factors were playing the predictor role, the model was significant only with cross-functional support strategy as criterion variable (R² = .10, F = 7.24; p < .01). The achievement orientation significantly and positively predicted perception of cross-functional support hypothesis H1 was partially supported. In Model 2, socio-cultural factors were also used as predictor variables. It was found that they were acting independently, and produced no significant impact on the relationship between IAO factors and championing strategies. Though self-serving calculative behavior was found to be significantly and positively predicting the perceived degrees of significant (R² = .04, F = 1.39, p > .05). Three .01), goal-
  • 62. and self- < .05) were found to have significant impact on cross-functional support strategy (R² = .14, F = 5.27, p < .01). Only self-serving calculative significant and positive impact on locus of support strategy (R² = .06, F = 1.96, p < .05). The results did not support the hypothesis H2 as the socio- cultural factors did not have any intervening impact on the follower-leader relationship. In the results, two variables featured prominently. These were perceived cross-functional support on the one hand and self-serving calculative behavior on the other hand. In the organizations, specialization often leads the members to a focused view of only their work. This limits the horizontal flow of knowledge, which blocks the cross- functional exchange of knowledge (Shane et al., 1995). In the context of Indian social and organizational functioning, this would happen often; hence, the people depend on champions to gather the cross-functional support of knowledge for innovations. This preference for cross- functional support depends on the achievement orientation, goal-achieving behavior, and self- serving calculative behavior of employees. If the person is willing to have achievements at work and is also working towards it putting in all efforts, they prefer the leaders who would take up their cause and work towards it (Sinha and associates, 2010). The self-serving calculative behavior wherein people are calculative to serve their own interests has predicted the three strategies. For making an innovative idea work, Indians can become
  • 63. calculative to get all sorts of help from authorities through the champions. They would speak what the leaders want to hear, take undue advantage of innocent people, would work very hard if there is any scope to be amply rewarded (Sinha and associates, 2010). But, they would do all this to get heard and make their ideas into possible innovations. This mode of behavior pertains to the quality of molding the environmental factors into one’s favor, and rerouting to the enterprising activities. Indian organizations have also adapted to suit to the competitive times (Sinha, 2008; Sinha and Sinha, 1990). They are adopting the necessary activities that would help the organizations to grow. A few interviews were conducted with the higher authorities in the targeted organizations to know about the activities, supported by the study of annual reports. It was found that there is emphasis on “high performance culture” and relaxation in terms of status quo. According to them, freedom to discuss and share the knowledge among the people of their professional unit is more important than maintaining the unconditional distance from seniors. In HR strategies, training and development 84 Journal of Management Research was found to be very important for improving the skills of employees. Performance management systems including various awards, rewards, and recognitions were included to encourage employees. The organizations have either formal or
  • 64. informal knowledge management systems for the continuous flow of knowledge. These strategies would help the hassle-free mobility of champions to gain required knowledge, support and resources for innovations. These would also act as encouragement to the employees. CONCLUSION AND IMPLICATION This study proposed to study the impact of intrapreneurial attitude orientations and socio- cultural factors on preferences for innovation championing strategies. The results of the study brought the self-serving calculative behavior of Indians into light, together with attitude towards achievement orientation at work and the preferences for strategy of cross-functional support. Indians are very achievement-oriented, and they work very hard towards their set goals. In the process, they can be selfish and self-serving and jump over any hurdles. They would want their leaders to gather the required knowledge and support from various departments for the cause of innovations. The results have implications both for academicians and practitioners. This study extended the research on follower-leader relationship by including the context of innovation. Also, the study has used an emic approach to understand the role of socio-cultural factors in India. A global model to study the impact of culture has given the platform for comparing the similarities and differences in the functioning of organizations at the level of national culture (Hofstede, 1983). The studies can look for more
  • 65. local characteristics in the cultures which can have their impact on organizational functions. This study has its significance in the current business arena where innovation has become the key to change and sustenance for organizations. The follower-leader relationship is important in organizational science because it helps the leaders to acclimatize their roles and activities, and get the best out of their subordinates (Felfe and Schyns, 2010; Sinha, 2008). Understanding of these relationships would help the organizations to match and assign “right people at the right jobs”. This study is also significant in the present scenario when the Indian government is stressing on ‘Make in India’ strategy, it adds to the psychological support to the technological knowledge. LIMITATIONS The study has its limitations. The first limitation relates to the measuring instrument. The limitations of using interview schedule methods in surveys cannot be avoided completely, though checks in the items were included in the scales. The Data were collected only from manufacturing sector, and service and IT sectors were not included in the study. The sample size was small. Further studies can be conducted keeping in view these limitations. Studies in different sectors with a larger sample size can be done to validate the results. This will broaden the scope of “best practices in Indian organizations” in the domain of innovation management. REFERENCES Ajzen, I. (1989), Attitude Structure and Function, in A. R. Pratkanis, S. J. Breckler and A. G. Greenwald (Eds), The Third
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  • 73. permission. However, users may print, download, or email articles for individual use. Title: Database: Innovation. By: Harper, Gavin D. J., MSc, Salem Press Encyclopedia, 2019 Research Starters Innovation Related Information Listen American Accent Global rankings of innovation cities worldwide by independent innovation agency 2thinknow, as published in 2007. By 2thinknow (Own work) [GFDL (http://www.gnu.org/copyleft/fdl.htm
  • 74. or CC-BY-SA-3.0 (http://creativecommons.org/licens sa/3.0)], via Wikimedia Commons Innovation is the process of developing and bringing to market new products, services, ideas, or solutions to problems. This is in contrast to invention, which is the development of new devices, methods, or techniques. Inventions are not necessarily innovations. For an invention to be an innovation, it must be introduced into the marketplace and become generally accepted. Technology is intricately linked to the state of society and quality of life. Understanding innovation is not just a question of understanding business and technology, but it is also how society responds to technological change and the nature of socio-technical systems. Overview Developing innovative products can be expensive, and
  • 75. success is far from guaranteed; as many as 75 percent of new products introduced into the marketplace fail. However, the cost of not being innovative can be just as high; many companies fail as a result of being overtaken in the marketplace by competitors with more innovative products and services. Thus, understanding innovation is important to ensure business success. The earliest literature described the process of innovation as linear. Invention led to innovation, which then led to diffusion (the process of the innovation spreading through the marketplace). Linear models of innovation are open to many critiques because they are so basic, yet some believe this simplicity is an asset. One of the earliest models of innovation was that of “technology push,” whereby a manufacturer developed a product with capabilities not then available in the marketplace. This innovation would arise from improvements in basic science and technology, which in turn led to developing, manufacturing, and selling a new design. A later but still
  • 76. simple linear model of innovation was that of “market pull.” Here, the innovator responds to an existing need in the marketplace. By researching this need, new products could be developed, manufactured, and sold into the market. From this early base, many more sophisticated models of innovation have been developed. The “S curve,” also known as a diffusion curve, is a concept that explains the life cycle of an innovation. Innovations have a life cycle that runs from their debut on the market to their replacement by newer innovations. Scholars of innovation are interested in how innovations are adopted and what sort of consumers will use the technology at each stage of its life cycle. Understanding these market segments is imperative to successfully marketing innovations. The technology adoption life cycle model, developed by Everett Rogers, is a bell-shaped curve, divided into five segments labeled innovators, early adopters, early majority, late majority, and laggards. Each segment has its own profile.
  • 77. Geoffrey Moore, a well-known Silicon Valley technology consultant, advanced a variation of this model. He suggested that one of the biggest challenges is transitioning an innovation from the early adopters to the early majority; he calls this leap “the chasm.” While innovation can be physical—a new device or invention is successfully introduced to the marketplace, for example—it can also be “soft,” that is, delivering enhanced outputs by reconfiguring the way companies do business. Such innovations are sometimes called business model innovations, as opposed to the more conventional technological innovations. Bibliography Betz, Frederick, Managing Technological Innovation: Competitive Advantage from Change. 3rd ed. Hoboken: Wiley, 2011. Print. Christenson, Clayton M. The Innovator’s Dilemma: The Revolutionary Book That Will Change the Way You Do Business. New York: HarperBusiness, 2011. Print. Godin, Benoit. “The Linear Model of Innovation: The Historical Construction of an Analytical
  • 78. Framework.” Science, Technology & Human Values 31 (2006): 639–67. Print. Keeley, Larry, Helen Walters, Ryan Pikkel, and Brian Quinn. Ten Types of Innovation: The Discipline of Building Breakthroughs. Hoboken: Wiley, 2013. Print. Moore, Geoffrey A. Crossing the Chasm: Marketing and Selling Disruptive Products to Mainstream Customers. Rev. ed. New York: HarperBusiness, 2002. Print. Osterwalder, Alexander, and Yves Pigneur. Business Model Generation: A Handbook for Visionaries, Game Changers, and Challengers. Hoboken: Wiley, 2010. Print. Rogers, Everett M. Diffusion of Innovations. 5th ed. New York: Free Press, 2003. Print. Teece, David J. “Business Models, Business Strategy and Innovation.” Long Range Planning 43.2–3 (2010): 172–94. Print. Tidd, Joe, and John Bessant. Managing Innovation: Integrating Technological, Market and Organizational Change. 5th ed. Hoboken: Wiley, 2013. Print.
  • 79. von Hippel, Eric. “Democratizing Innovation: The Evolving Phenomenon of User Innovation.” Innovation 1.1 (2009): 29–40. Print. Copyright of Salem Press Encyclopedia is the property of Salem Press. The copyright in an individual article may be maintained by the author in certain cases. Content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. Source: Salem Press Encyclopedia, 2019, 1p Item: 89677574 Week 4 - Assignment: Investigate Methods to Increase Innovation and Meet Strategic Objectives Assignment Top of Form Due November 24 at 11:59 PM Bottom of Form Assignment Instructions: For this assignment, you will act as a consultant for your employer or the company of your choice. Your assignment is to prepare a slide presentation with three to five change recommendations for addressing customer needs and building an ecosystem for innovation. To do this, you will need to answer the following questions for
  • 80. your recommendations. · Where will your innovations take the company in the future? · How will the changes help the company to reach consumers and the right time? · How will these recommendations for innovation affect the company’s competitive advantage? Your answers should be brief and provide a well-developed recommendation. Please keep in mind, this is a presentation, and you will need to include notes for your slides to share the key details that you are not able to include in the bullets on your slides. Length: Your slide presentation should be 8-12 slides. This will include a title slide and a reference slide. References: Include at least 3-5 scholarly resources. Your presentation should demonstrate thoughtful consideration of the ideas and concepts presented in the course and provide new thoughts and insights relating directly to this topic. Your response should reflect scholarly writing and current APA standards. Identifying and Increasing Innovation Opportunities One of the keys to a successful and sustainable business is the need to identify and increase the opportunities for innovation. Identifying opportunities for innovation is often viewed with a perception that it is only within the domain of technology companies to be innovative. Although innovation and technology are not synonyms, they are often used interchangeably. Technology is common in your jargon and communication. You use computers, smartphones, and other appliances that are connected to the Internet. The type of research and development needed in this market space is all about innovation. However, innovation can come in seemingly non-technology related packages as well. Almost anything that an organization can do to be more efficient, competitive, and better focused on customer service, all while reducing costs, can be classified as innovative. Be sure to review this week's resources carefully.
  • 81. Find a copy Details Subject Innovations; Strategic planning; Risk assessm ent; Integration; Target m arkets; M anycom panies; Product developm ent Location United States; US Classification 9190: United States 5400: Research & developm ent 2310: Planning 7500: Product planning & developm ent URL https://hbr.org/2006/04/m atch-your-innovation-strategy- to-your-innovation-ecosystem Title M atch Your Innovation Strategy to Your Innovation Ecosystem
  • 82. Author Adner, Ron Publication title Harvard Business Review ; Boston Volum e 84 Issue 4 Pages 98-107 Publication year 2006 Publication date Apr 2006 Publisher Harvard Business Review Place of publication Boston Country of publication United States, Boston Back to previous page document 1 of 1 Match Your Innovation Strategy to Your Innovation Ecosystem Adner, Ron. Harvard Business Review; Boston Vol. 84, Iss. 4, (Apr 2006): 98-107. Click here to request the full text article http://illiad.ncu.edu/illiad.dll?Action= 10&Form = 22&url_ctx_fm t= ?ctx_ver= Z39.88-2004&ctx_enc= info:ofi/enc:UTF- 8&rfr_id= info:sid/ProQ % 3Aabiglobal&rft_val_fm t=
  • 83. info:ofi/fm t:kev:m tx:journal&rft.genre= article&rft.jtitle= Harvard+ Business+ Review &rft.atitle= M atch+ Your+ Innovation+ Strategy+ t 04-01&rft.volum e= 84&rft.issue= 4&rft.spage= 98&rft.title= Harvard+ Business+ Review &rft.issn= 00178012 Abstract high-definition televisions should, by now, be a huge success. Philips, Sony, and Thom son invested billions of dollars to develop TV sets w ith astonishing picture quality. From a technology perspective, they've succeeded: Console m anufacturers have been ready for the m ass m arket since the early 1990s. Yet the category has been an unm itigated failure, not because of deficiencies, but because critical com plem ents such as studio production equipm ent w ere not developed or adopted in tim e. The HDTV story exem plified the prom ise and peril of innovative ecosystem s - the collaborative arrangem ents through w hich firm s com bine their individual offers into a coherent, custom er-facing solution. W hen they w ork, innovation ecosystem s allow com panies to create value that no one firm could have created alone. But for m any organizations the attem pt at ecosystem innovation has been a costly failure. This is because, along w ith new opportunities, innovation ecosystem s also present a new set of risks that can brutally derail a firm 's best efforts. Publication subject Business And Econom ics, Business And Econom ics--Banking And Finance
  • 84. ISSN 00178012 Source type M agazines Language of publication English Docum ent type Feature Docum ent feature diagram s ProQ uest docum ent ID 227840525 Docum ent URL http://search.proquest.com .proxy1.ncu.edu/docview /227840525?accountid= 28180 Copyright Copyright © 2006 Harvard Business School Publishing Corporation. All rights reserved. Last updated 2017-12-08 Database 2 databases View list ProQ uest Central ProQ uest Central Database copyright © 2019 ProQ uest LLC. All rights reserved. Term s and Conditions