Idea Generation Process- Entrepreneurship

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Idea Generation Process For
NANO: “The People’s Car”

AND
NIKE : “Just Do it”

Stages of Idea Generation Process

Idea
Generation
Idea
Screening
Concept
Development
and Testing
Marketing
Strategy
Business
Analysis
Product
Development
Test
Marketing
Commercialization

Concept Screening*
Test Marketing*
Opportunity Identification
Idea Generation
Concept Development
Product Development
Positioning Development
Commercial-ization

*”Stage Gates”
Marketing Plan Development

A systematic approach that increases the odds of success
1. Idea generations:

1. Companies seek new ideas to enhances the performance of the exiting products and to innovate new ideas. The stages is called idea generations stages. The Major sources of new product ideas include internal sources, customers, competitors, distributors and suppliers. Almost 55% of all new product ideas come from internal sources according to one study. Companies like 3M and Toyota have put in special incentive programs or their employees to come up with workable ideas.Almost 28% of new product ideas come from watching and listening to customers. Customers: About 30% of new product ideas come from analysis of competitors’ products. The company can watch competitors’ ads, press releases and write-ups in the press about their activities. Companies also buy competitors information and pay for industrial espionage.Resellers and others who are close to the market, can often pass on information about new developments. Other sources are trade magazines, shows and seminars, market research firms, government reports, advertising agencies and new product consultants. Employees thought the companies can be sources of ideas. Toyota claims that employee submit two million ideas annually over 85% of which implemented. Companies also find good ideas by researching competitor’s products and services. They can find out what the customers like and dislike about their competitor’s products.ideas can also come from investors. External research, surveys, industrial publications research,and development etc.But main source of idea generation is the customers by their grievances ,complains and feedback. However, although ideas can flow from many sources, it is not feasible to implement all the ideas generated due to lack of time and capital. 2.Idea screening:-

The main purpose of idea generations is to collect a large number of ideas. however, all ideas can be commercially viable. therefore companies filter the less viable ideas with the help of systematic process. Companies use various parameters to screen the ideas such market size, technical, capabilities and potential completions etc. The following issues will also help the companies to analysis the attrectiveness of the ideas. * Whether the product idea match the exiting product of the company. * The to which the new product cannibalize the sale of the exiting product. * Company’s ability to produce and market the product.

* Buying behavior and probable changes in environment.

Errors
Drop error where firm reject a very good idea.
Cro error where firm select a poor idea.

3.Concept testing and development:-
All ideas that survive in the process if screening will be studies in detailed. they will be developed into mature product. At this stage, the idea is submitted for external evaluation to get feedback from the market. it helps the firm to collect the important information like customers initial reaction towards the product development. During new product idea is described in the form of one or more benefits. An attractive idea has to be developed into a Product concept. As opposed to a product idea that is an idea for a product that the company can see itself marketing to customers, a product concept is a detailed version of the idea stated in meaningful consumer terms. This is different again from a product image, which is the consumers’ perception of an actual or potential...
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