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Question:
Successful innovation requires an in-depth understanding of the dynamics of innovation, a well-crafted innovation strategy, and well-developed processes for implementing the innovation strategy.
Innovation is an inherently risky undertaking. Most innovation projects are characterized by both technical and market uncertainty. Technical uncertainty relates to whether the project will result in a technically feasible product or service. Market uncertainty relates to what features customers will prefer and what they will be willing to pay for them.
Considering these uncertainties, respond to the following:
Explain why you think so many innovation projects fail to generate an economic return.
Give at least one example of a failure due to technical uncertainty and one example of a failure due to market uncertainty.
With the benefit of hindsight, what would you do differently for the examples you have given?
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