What is an innovation strategy? What are the strategies?

The innovation strategy is the plan to evolve the share of the market or the profits through the service innovation as well as the product. The innovation strategy must also show the improvements in the product at the time of creating the solution or disruptive or breakthrough the approach of innovation which is the best approach.

There are several types of innovation discussed in the research article that companies can perform and pursue. Furthermore, the innovation strategies can be broken down into two dimensions such as technology and market. The types of strategies which are discussed in the articles are inventive innovation strategy, adaptive innovation strategy, economic innovation strategy as well as the innovative application strategy.

Inventive Innovation strategy

The inventive innovation strategy refers to the innovation in which new discovery about the product or the new deal about the product is observed. In this strategy, every organization will be more focused to bring new and unique products and service to their prospective buyer to grab their attention towards the company as well as attain high competitive advantage in the market.

Adaptive innovation strategy

The adaptive innovation strategy is very important strategy that is performed in the companies by the mangers and leaders including their R&D departments. The workers in the company always try to have the information and learn about how the processes will work in the company. The adaptive innovation strategy is not about to adapt the development or production style. In this strategy, the researchers always in the search of effective design of the product, the participation of employees or labor in the company’s functions, the co-creation strategies as well as other operations that can be beneficial for the company and can improve the profitability by providing suggestions and ideas.  

Economic innovation Strategy

The economic innovation strategy is the central to long term growth of the company which is very significant strategy to make the company successful and expand the business of the company by maintaining finance. It also refers to the competition among different companies that can generate the monetary resources to invest in the innovation to make company bigger than before to hold high market share.

Innovation application strategy

In the innovation strategy type, the company focuses more on the innovation of any type and implement this strategy in the company to make it functional.

1.         You have read the hierarchy of strategies. Is it mandatory to maintain the hierarchy? Or it can be overlapped?

There is some hierarchy of strategies that I have read. The hierarchy contains three components related to the strategy which are: business strategy, functional strategy as well as the product strategy. The business strategy is representing the generic strategy in which the main focus of the companies is how they will compete in the market with other companies. Furthermore, they are more focused to develop new products or improve the products. The functional strategy is representing the technological strategies as well as the companies completely focus on bringing the new improvements into the technology. furthermore, the companies that are using the functional strategy, they always focus to select the technology as well as they are choosy in this step. The product strategy is the third and last strategy in the hierarchy which is representing the first-mover strategy in which they always focus on how they can bring innovations into the company and market to hold high market share. The strategies can be overlapped because many companies can perform different strategies in a single time.

2.         Discuss the innovation strategies of your company. (take an example)

My company is a fast food gourmet that is serving the bakery food items as well as sweets in the city and wants to grow and expand the business. I always want to grow the business of the company and currently, it is serving effectively. In my company, there are three innovation strategies are being used which are: innovative, adaptive as well as economic. By having these strategies, the company can produce tasty bakery food items and distribute on the different store in the city. The company is using the adaptive strategy and focuses to be first in the market to supply fresh bakery items to stores. That is the only reason, customers like products. Secondly, the company also focuses to produce the bakery products on the low-cost producer.