Supply-driven innovation
Supply-driven innovation is a type of innovation that is driven by the capabilities and resources of a company rather than by consumer demand. In this approach, companies develop new products or services based on their internal strengths and expertise, and then seek to create demand for these innovations in the market.
One example of supply-driven innovation is Apple’s development of the iPhone. Apple identified the potential of touchscreen technology and mobile computing, and used its internal expertise in design and technology to create a revolutionary product that transformed the smartphone market. The iPhone was not a response to consumer demand, but rather a product that created its own demand through its innovative features and design.
Another example is Tesla’s development of electric vehicles. Tesla recognized the environmental and economic potential of electric cars and used its expertise in battery technology and design to create high-performance electric vehicles that have redefined the automotive industry.
In supply-driven innovation, companies take risks by investing in new technologies and products that may not have an immediate market demand. However, by anticipating future trends and creating innovative solutions, companies can gain a competitive advantage and shape the market in their favor.
Key points of supply-driven innovation:
- Driven by internal capabilities and resources
- Focuses on creating demand for innovative products or services
- Involves taking risks and investing in new technologies
- Can lead to a competitive advantage and market leadership
For more information about innovation, you can visit Wikipedia.