Applying Diffusion of Innovations

986 Words Feb 4th, 2011 4 Pages
APPLYING DIFFUSION OF INNOVATIONS THEORY

Applying Diffusion of Innovations Theory

Introduction: Diffusion theory of innovation
Diffusion of Innovations is to explain how innovations are taken up in a population. An innovation is an idea, people or organizational behaviour, or objective that is perceived as new by its audience.
Tidd et al (2000) states, “the innovation is a business process of revolving opportunity into new ideas and of putting these into widely used practice. In term of the nature, there are five major types of innovations: novelty, competence shifting, complexity, robust design and continuous improvement. While in term of the extent of change, innovations can be divided into incremental, radical and
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From this another question arises:
Is this market profitable enough to be carried forward and marketed? Only time can answer that question.
What I feel about Kodak’s move was that they are trying to make a space for themselves in an already crowded market. Kodak is trying to carve out a niche for them by offering inks for low prices. But, they have forgotten the abilities of the competitors. They have probably underestimated them. HP and Canon are big names in the printing industry and because of their continued rollout of good quality products; customers trust them more than they trust Kodak. It is also observed that Kodak had forgotten that if HP lowers their price to almost the same level like Kodak, Kodak won’t stand a chance. The only way that Kodak can hope to make some profit is by hoping that their competitors won’t reduce the price of the inks as it is the only source of revenue in the printing industry. But I am pretty sure that marketing research people of Kodak has made a blunder by opting for this. The major fact is that they have forgotten cartridge refilling industry which is cheap too and people have started to use that as they are comparatively cheaper to the original printing inks. I sincerely feel that Kodak has taken the wrong path to get out of their troubles.

Conclusion
In general, Kodak has done well in the innovation implementation. This paper mainly discusses the innovation system within the group also influence the innovation
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