Developing innovation strategies is important for any company, because innovation strategies will accompany the organizations overall business strategy and help achieve any prospective aims, objectives and goals. Aaker (1995, p. 336-337) identifies that to ‘organize for innovation’, a company must make itself open to change.
These strategies will pin point when and where innovation is to be incorporated to the company and how much of an influence innovation should have on that company.
There are several different types of ‘innovation strategies’. These consist of:
- Protection strategies. Locking customers in. This could be shown in examples like gym memberships. In which I have had bad experiences. Gym’s like L.A. fitness are a prime example of a sneaky company who look to lock people in to contracts and fail to let them out of it without full payment.
- Disruptive Strategies. Often seen in marketing, as a ploy to enter the market. Using strategies such as ‘low pricing’.
- Technology Strategies. Aaker (1995, p. 231-232) says that ‘innovation runs through pre-emptive moves’. So what Aaker is saying is by investing in new technologies and staying ahead of the game, companies are using this innovation of technology advances in order to stay on top. As seen in mobile phone companies and the gaming industry, with companies like; o2, Nokia, Vodafone or Microsoft, Playstation, Nintendo.
- Primarily Innovation Strategies. Focusing on purely innovation, trying to create new concepts, ideas and products in order to grow as a business.
Reference List
David A. Aaker. 1995. Developing Business Strategies. Fourth Edition. John Wiley & Sons Inc. Printed in the United States of America.
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Accessed on 16/1/2012
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