Reverse Innovation: Create Far From Home, Win Everywhere (by Vijay Govindarajan and Chris Trimble) challenge traditional thinking ways, and asks the readers to look at the developing markets for unconventional and exciting opportunities that they have to offer. The book is an eye-opener of sorts – the dynamics of global innovation are changing. Innovations are no longer restricted to the developed nations – developing nations are catching up, and fast. The authors explain where, when, and why reverse innovation is on the rise and the implications of this.
Westerners are now forced to sit up and look at the marvels of frugal innovations. Whether it’s a CEO, financier, strategist, marketer, scientist, engineer, national policymaker, or even an aspiring student, reverse innovation is a phenomenon that one needs to understand. The book has this underlying constructive spirit – not just bringing to attention the problems of corporates face but goes to suggest logical solutions to the emerging countries. And the beauty of all this - every assertion is made demonstrated by an example.
The case studies show the positive reverse innovation outcomes; however, reading between the lines highlights the numerous challenges, including championing and corporate battles needed to convert the conventional thought into innovative products as well as the underlying need to consider profit margins above all for both emerging and developed markets. This makes the book an essential read for MNCs to avoid the pitfalls of expanding into emerging markets.
The also is a natural extension of the idea of “Bottom of the Pyramid” concept by Prof. C.K. Prahlad. This is clearly demonstrated by examples of companies, like Wal-Mart, Nokia, GE, which have adapted the ideas proposed by VG (as he is better known in the business circles). This reasoning can be summarised by...