Marketing design and innovation

Contents
Introduction and background information..................................................................3
Rationale of the study............................................................................................. 4
Objective of the study............................................................................................. 5
Literature Review....................................................................................................... 5
Discussion and analysis.............................................................................................. 9
Conclusion................................................................................................................ 13
Reflective Essay........................................................................................................ 14
References................................................................................................................ 17

Introduction and background information

Innovation has been regarded as one of the important factors in the successful
implementation of creative ideas and relies on the creative, critical and alternative
thinking. In the absence of creative thinking, there would be no innovation and without
implementation of innovation, the creativity would nothing than a thought. In this
respect, Buchanan (2001) has suggested that innovation cannot exist with creative and
critical thinking. The authors have regarded innovation as something designed or
produced in a new way exceptional than the traditional procedures or processes.
Initially, the innovation is considered valuable only for the designers unless it has been
presented to the audience.
The roots of the term innovation can be traced back in the Latin word novus meaning
new. This term has been derived from the verb in+novare which means to make or
produce something new. Therefore, in the broad perspective, innovation refers to
introducing or developing something new which is more exceptional than the traditional
or already existing things. Kimbell (2002) has studied innovation in relation to the
creativity. They have suggested that innovation is the outcome of creativity. In this
framework, Trott (2005) has defined creativity as the procedure or process of
developing and expressing the new or novel ideas which have usefulness. This
definition of creativity suggests that the ideas should not only be novel or new but they
should also have useful attributes which lead to the potential activity of utility. This
perspective of innovation and creativity reveals that the innovation is the combination,
embodiment, and synthesis of the knowledge in relevant, new, novel and valued
processes, products and services. It is important to categorize the differences between
invention and innovation. Invention refers to the development or creation of a new
process or device through experimentation and detailed study. On the other hand, the
term innovation involves invention as well as the efforts or the processes by which ideas
have been transformed into the final shape. Innovation in the marketing has been
regarded as something more important than the mere process of coming up new ideas
and processes. It involves the process by which new ideas are transformed into
practical use. Hence, within the framework of innovation, the invention is just the initial

step of coming up new ideas. In more detailed perspective, Ellonen et al (2008) have
elaborated innovation as the plan which refers to the incorporation of advances in the
engineering, technology and marketing science in order to increase the efficiency and
effectiveness of marketing in order to attain high shareholder value and competitive
advantage (Huck & Zerfass, 2005). This background of innovation reveals that it is very
crucial to understand the marketing innovation and the marketing innovation strategy of
an organization or product to attain sustainable competitive advantage.
In this particular report, innovation in Apple Inc has been discussed by taking iPhone as
the product. Apple Inc. was formally known as the Apple Computer Ins. It is one of the
important American multinational corporations that designs, produces and sells
consumer electronic products, personal computers and computer software. The
company is best known for its hardware products such as Mac line of computers,
iPhone Smartphone, iPod music player and the iPad tablet computers. The consumer
software of Apple Inc is the OS X and iOS operating systems. Apple Inc has been
widely known for its creativity and innovation perspective in the Smartphone industry.
The innovations in iPhone, iPad, and iPod Touch have brought a transformation in the
consumer electronics industry.
The iPhone has been introduced by Apple as an interactive Smartphone which runs
Apples IOS operating system. The first generation of the iPhone has been launched in
2007which led to the sixth generation of iPhone 5 which has been introduced in 2012. In
this particular report, the marketing and product innovation in iPhone have been
critically assessed which led to the generation of competitive edge for the company.

Rationale of the study

This particular study has been focused at the product design and marketing innovation
in the iPhone. The results of this particular are effective in order to understand the
importance of marketing innovation in product design. In addition, the theoretical
perspectives of marketing innovation and product design have also been reviewed in
relation to the iPhone. The results of this study have effectively described that how
innovation has created advantageous for the customers as well as for iPhones
success.

Objective of the study

The objectives of the study include:

To critically review the importance of marketing innovation

To apply the theoretical perspectives of marketing innovation and design on the

iPhone
Critically assess the value and benefits derived by the customer from the product
Critically identify the uniqueness of product in term of shape, colour, design

relevance and imagination

To analyse the extent to which innovation in the iPhone has created competitive
advantage

Literature Review
Over the years, researchers and scholars have been studying the concept of innovation
and have produced a profound body of literature on innovation and creativity. A large
body of literature has focused on the technological innovation. However, in the recent
past, the trend has changed from technological innovation to the new forms of
innovation such as service innovation, process innovation and strategic innovation. With
the new forms of innovation, it has become crucial for the researchers and authors
understand the innovation and its contribution towards the long term success of a
product or company.
Innovation is simply the change that outperforms the past products or practices. Martin
(2011) has noted that form sustaining success through innovation, it is important for
managers and marketers to focus on the innovation network which is dependent on the
sound understanding of the complexity of innovation and creativity. Fagerberg et al
(2005) has noted that innovations are brought to the market through a coordinated
network of firms and are selected on the basis of competitive advantage of the firms and
operated in a coordinated and effective way.

In the technological industry, transformation brings the innovation which is highly

important for the parent as well as associated industries to learn and understand. Large
scale innovations are regarded as the outcome of the networking and integration of the
industries and technological aspects. With the increase in volume of the innovation, the
management of innovation has become highly crucial for the managers and
researchers. The innovation management is the way through which small and large
scale innovations are managed and controlled (Fagerberg et al., 2005). The innovation
management has focused on the management of product and organizational level
innovation.
It has the series of methods that helps and encourages the engineers and managers to
understand the objectives and procedures of innovation. The centre of innovation of the
modern management is to let the organization to react to the internal and external
matters and to create the modern and creative ideas, goods and methods. The basically
modern organization is not related to the R&D; it includes the workers at every stage in
contributing to the company development, marketing and manufacturing. By using the
modern and innovative tools and methods the total work force can be deployed for
continuous development of an organization. Innovation has also been regarded as the
integration of organization from an evolutionary perspective, market and technology.
Sturdy (2004) has suggested that the innovation is the set of activities by which ideas
are searched, selected, implemented and captured for innovation.
Fagerberg et al (2005) has categorized the innovation process into two forms i.e.
pushed innovation and pulled innovation. The pushed innovation process has been
based on the newly invented technology or existing technology to which the
organizations have access to and tries to search the profitable applications of the
technology. On the other hand, the pulled innovation process focuses on the unmet
needs of customers and develops solutions to meet the unmet needs of customers
through new products and services. In order to attain sustained advantage, it is highly
important to have sound understanding of technological and market problems. Martin
(2011) has suggested that the creation of multi-functional teams and integrating
marketers and engineers, dimensions related to innovation can be resolved effectively.

The life cycle of products has been reduced and becoming shorter with the increase in
competition. It has compelled the organizations to reduce the time to market new
products and services. In this respect, the innovation managers need to focus on
reducing development time of innovation without compromising the quality of products
and services and meeting the unmet needs and wants of customers.

Sturdy (2004) has suggested that the innovation management involves the
incorporation of novelty in the established organizations and it represents a specific
form of change in the organizations. From a broad perspective, management innovation
can be elaborated as the difference in the state, form or quality of the management
activities in a company where the change is regarded as a novel departure from the
previous activities. The understanding of the innovation process is important because it
shapes the way through which innovation has been shaped and managed. The
understanding of innovation has gained importance with the increase in competition. In
order to effectively understand the innovation, several models have been proposed by
the authors. Early models of innovation are the ones which have been managed by
people perceive innovation as the linear sequence of the functional activities. The new
opportunities give rise to the implementation and application of the refinements of
technology in the marketplace. This application of technology is regarded as the pushed
form of innovation. On the other hand, the market needs also signal the new solutions
for the existing problems which point out the need pull innovation (Fagerberg et al.,
2005). The limitations of push and pull innovation are obvious. Sometimes pull
innovation dominates and sometimes pulled innovation. However, the successful
innovation is the one which has been brought through the interaction of push and pull
innovation process.
One of the important problems in managing innovation is to understand the uncertainty,
complexity and risky nature of innovation. Most of the literature in innovation
management has focused on the critical points of linear models of innovation and tries
to build interaction and complexity in the innovation models. The process of innovation

is not easy rather messy because it involves false starts, dead ends, recycling between
ends and jumps out of a proper sequence. Van de Ven and Johnson (2006) critically
explore the limitations of the innovation models. They have evaluated that the complex
process of innovation evolves over the time and drives modifications to the basic
models of innovation. These modifications are as follows:

Shocks trigger innovations: This suggests that change happens when the
organizations or people reach at the dissatisfaction or the threshold of the

opportunity.
Ideas proliferate: This suggests that after starting the single direction innovation,
the process proliferates into the organization and multiplies itself into divergent

progressions.
The innovation set backs are frequent. There can be over optimism of the plans,
escalation of commitments and accumulation of the vicious cycles in the

organizations.
The restructuring process of innovation occurs when there is external
intervention of the factors, unexpected events and the personnel changes in the

organizations.
The role of top management in innovation development cannot be ignored
because it is the key sponsor of the innovation but it also criticizes and shapes

the process of innovation.

The criteria for success in innovation have shifted over the time and differ

between the groups and make the innovation process political.

Innovation is a learning experience and its outcomes are due to other events
which emerge as the innovation process develops over the time which makes it a
superstitious process.

Tidd Joe and Bessant (2009) suggest that most of the time innovation takes place within
certain rules and regulations which have clear boundary and guidelines and also
involves the players who try to innovate new things. In some organizations, innovation
management is more effective than others but the rules and directions of innovation do
not change across the organizations and are accepted widely. However, the
organizational capacity defines the conditions and space in which innovation process
takes place. They create new opportunities and ways and also challenge the existing

processes and rules which serve as a base for the innovation. Sturdy (2004) has
suggested that the incremental innovation needs to be implemented in the organizations
because it aims at bringing significant changes in the products and services.
The literature review has suggested that innovation is the process by which
organizations introduce new things and offerings in the market which are different from
the existing ones. The innovation process can be pushed or pulled. The pushed process
of innovation has been triggered through technology whereas the pulled innovation has
been initiated through market needs and wants. The literature has suggested that the
innovation can effectively be managed if it has been emerged through a combination of
push and pull innovation rather than through either way. In the next section, the
innovation process and its outcomes in the Apple have been critically examined.

Discussion and analysis

The heart of the success of Apple is to create new products which everyone wants to
have. The iPhone has announced 6th generation Smartphone named as iPhone 5s. The
iPhones gradual and consistent innovations have revolutionized the world of
Smartphone. The improvements in the previous versions have facilitated the customers
to get access to several applications and tools. Apple has maintained its higher position
by offering the products with highly useful for the customers. Each model of iPhone has
introduced distinctive and new features and attributes which have collectively resulted in
the higher benefits for customers.
The benefits offered by the iPhone are numerous and effective. One of the most
obvious and visible benefits of the iPhone is to access and download the wide range of
applications from the Apple App Store. Although many applications are available on
several other Smartphones but the iPhone has offered some distinguished applications
which are available only for iPhone users (Goedertier, 2010). These applications range
from entertainment to the game and business productivity software. Apple has made the
accessibility of some applications limited. This is again facilitating the customers not to
download viruses and malware.
The iPhone has also offered several distinctive features which are not available on the
other Smartphones. For instance, FaceTime is the important application which has

allowed the customers to carry video chat with other users of FaceTime in the presence
of internet connection (Denver, 2011). Apple has been regarded as the first company
that offered the video calling application on the Smartphone. The customers of the
iPhone also benefit from the video clarity through this application.
One important sought after feature of the iPhone is the super light weight build. The
iPhone has been regarded as the lightest weight and the thinnest Smartphone in the
market. IPhone 5s weights just about 112 grams which make it the thinnest
Smartphones in the market (Anthony, 2012). In order to facilitate convenience to
customers, Smartphones have been becoming thinner and lighter day by day with the
developments and progress in the market. Therefore, it cannot be regarded as the only
thin and light Smartphone in the market. However, the iPhone has made appreciable
creativity and innovation to create a light design having multiple attributes, features and
accessories. Because of this feature, the iPhone is very easy to carry and handle
without any difficulty and inconvenience. In addition, the iPhone has also been equipped
with the most responsive touch screen. The screen of the iPhone has been designed
and carefully engineered so that it can withstand the abuses without causing severe
damages and scratches. The sleek body of the iPhone has been made of glass.
However, the complete device has been designed in such a way that it can withstand
the daily use without causing damage to the device.
The iPhone has also been known because of availability of durable and convenient
accessories. The iPhone has grown into highest levels of popularity because of the
creativity and innovation in the accessories which facilitate customers in several ways.
The accessories in iPhone range from protective covering, screen protectors, charms,
skins, and cases. The innovative designs of accessories for the iPhone have added
personality to the Smartphone.
The engineers of the iPhone have also contributed in designing the accessories which
have maximized its portability and capabilities. The accessories such as speakers,
headphones, mount and dock to car chargers has facilitated the customers to use a
particular feature of iPhone in multiple ways (Anthony, 2012). The accessories built on
the iPhone have benefitted the customers to tailor the Smartphone to their personal as

well as business use. These accessories have facilitated the customers to use the
Smartphone according to their specific requirements. The combination of a wide range
of features and attributes in a single Smartphone which is a compact device, thin and
sleek has assisted the Apple to achieve a competitive edge in the market.
The interactive, convenient and smart features of the iPhone have provided benefits to
cell phone expert, novices and also to the people from all walks of life. The Office
features of the iPhone have provided benefits to the business users who can edit
certain documents, attend business meetings, prepare time and task schedules while
on the go. Hence, the creativity of the iPhone has not only facilitated users to
communicate with others on video and audio calls but also assisted them to carry on
their business activities while they drive. On the other hand, the iPhone has also
provided benefits to customers who want to get fun from their single and slim
Smartphone. In this perspective, the iPhone has also incorporated the games and much
other entertainment software.
From design, uniqueness, shape and colour perspective, the specifications of the
iPhone are of high quality and make it an attractive device at first look. When a user
compares the features and attributes of the iPhone with the other Smartphone, a
customer cannot buy the other Smartphone with the same attributes at more
economical prices. From unique perspective, the features of iPhone have been derived
from the high efforts of creativity and innovation.
The iPhone has been equipped with the Updated Siri Software. It is the voice
recognition software which can answer the queries and questions and also assist the
users to browse from their voice (Denver, 2011). Hence, it has been regarded as the
important electronic personal assistant. This software understands the questions and
responds promptly. Moreover, it can also update the social networking status of users
efficiently. Although there are many other voice recognition software but Siri Software is
highly accurate and responsive. In the competitors Smartphones such as Windows
phones, Blackberry and Android, Google Voice is built which does not interact with the
users and certainly fails to update the status and tweets on behalf of users. Hence, the
iPhone has an edge over the competitors on the basis of Siri Software.

The processor of the Siri Software is dual Core A6 which has again made it
distinguished from those of competitors. It has been tested that the A6 processor is
twice as fast as the Apples A5 chip which has been used in iPhone 4s. It suggests that
the speed of operations on the iPhone has improved gradually. Although A6 processor
has been the great chip to be used but it is not the only processor used on
Smartphones. There have been plenty of core processors which can be bought from the
market and can process requests in short duration of time. As far as Dual processor is
concerned, the iPhone has the cutting edge over other Smartphones.
Another big draw for consumers is the Eight MP Digital Camera on the iPhone. This
inbuilt camera is the stellar. However, the iPhone is not the only Smartphone which has
been offering this feature. Other comparable options in this respect include Nokia Lumia
920, Droid RAZR HD and Samsung Galaxy SIII.
The battery life of cell phone is also considered as a determinant of competitive edge.
The IPhone has offered a decent battery time. The durable and effective design of the
iPhone has offered 8 hours of talk time and 22 hours of standby battery. In terms of
battery time, the iPhone has been standing in the steep and intense competition with
other Smartphones such as HTC Evo 4G LTE.
Finally, the bottom line of the innovation and creativity in the iPhone is that Apple has
been incorporating technology which can be found in other Smartphones, but the
features in HTC Evo 4G LTE are more appealing which can be bought in affordable
packages. The true advantage of the HTC Evo 4G LTEs innovation can be traced in its
updated processor, long battery time, Siri Voice recognition software, and light weight
build. Therefore, Apple has conducted a great job is bringing new technology and also
updating the existing technology to facilitate customers and attain competitive edge. At
the same time, it is important to note that Apple has been facing its competition from
many low priced Smartphones which have been offering similar features. However, the
consumers are still caught in the cult of Apples Smartphones. However, despite of the
stiff competition, the selling volume of iPhone sets has been appreciable.

Conclusion
Innovation is the process of development and implementation of creative ideas. It has
been concluded that innovation is designing or production of things in a new way
exceptional than the traditional procedures or processes. The analysis of the innovation
process also concludes that it is something more important than the mere process of
coming up new ideas and processes. It has been concluded that innovation, in the
competitive industry of the Smartphone, has been regarded as the heart of success.
Without bringing up new and novel ideas, an organization cannot survive in the
competitive market because customers have always been in search of something new
and novel. The literature perspectives on innovation and marketing have revealed that
the incremental innovations are less risky and have a high probability to be achieved.
From the same perspective, Apple has developed in certain products such as iPhone,
iPad and the iPod and resulted in the development and achievement of competitive
edge. The incremental innovations in the different versions of the iPhone have
revolutionized the Smartphone industry. In addition, the introduction of the iPhone has
also led the other companies operating in the Smartphone industry to think on the same
grounds. It has been concluded that iPhone has remained the pioneer in the innovative
Smartphones and it has succeeded in sustaining its competitive advantage. However, in
the current perspective, the Smartphone industry has become very competitive and has
involved a large number of buyers and sellers. The availability of alternative competitive
Smartphones on lower prices have somehow reduced the competitiveness of the
iPhone but still it has been regarded as the number one Smartphone in the world in
terms of innovation and product designs. The gradual innovations and creativity in the
iPhone has been attributed to the strategy and capabilities of Apple which have
revolutionized the Smartphone industry. Finally, it has been concluded that in order to
sustain the competitive advantage, Apple Inc needs to put more investment and
intangible capital in the innovation strategy.

Reflective Essay
In this reflective essay, I have been explaining the journey covered during the study of
marketing design and innovation. This module has remained very beneficial as well as
challenging for me to evaluate the concept of innovation, creativity and linking the
theoretical perspectives of marketing and innovation with the real life product designs
and features. In this essay, I have reported my overall experience and learning gained
through this particular module.
Through marketing and innovation module, I have learned that investment in innovation
has been marginalized by certain factors such as Research and development and
purchase of certain capital in terms of hardware and software which embodies the new
technologies. There has been a growing recognition and acceptance that the innovation
has been underpinned by a broad range of assets such as databases, availability of
capital, employee skills, brand, organizational views on and organizational know how.
Through literature study, I evaluated that the availability of these factors curbs the
private incentives for investing in the assets which could be short of the desired level of
creativity and innovation. From the perspective of intangible assets, it is argued that the
growth in the intangible assets does not need to overcome the gap between private
incentives and social returns rather innovations require the allocation of intangible
capital in an effective way (Kaplan et al., 2004). Moreover, it may also require the
effective and functional approach to reallocate the intangible capital to generate the
new, novel and creative ideas. Hence, I have deduced that the availability of intangible
capital is not the ultimate end of achieving the innovation and creativity rather it must be
allocated effectively and effectively.
By evaluating the literature and preparing the module assignments, I have attained
profound theoretical experience which suggests that truly successful innovation cannot
be completed easily. This is because of the complications, rejection of ideas and
scarcity of resources which are available to the innovators (Jordan, 2000). More specific
aspect of innovation is its sustainability. This is because many companies out lot of
resources and effort to innovate products but competitor imitate these innovative ideas
which lead to the destruction of competitive advantage which might be available to the

companies who initiated innovation in a particular respect. Hence, organizations should

also seek for appropriate and effective mechanisms through which innovation can be
sustained over a long period to attain the competitive advantage and the real essence
of innovation.
This module has also provided an opportunity to learn and apply certain models and
theories regarding innovation. First, the sustainable and long term innovation can be
achieved if the innovation process intersects the capabilities, insights and strategy
applied in an organization. In this perspective, Apples success has been attributed to
nothing but innovation and creativity. This is because Apples strategy, insights and
capabilities have recognized the importance of innovation and hence also incorporated
this into the organizational processes. Apple has recognized the importance of
intangible capital for its success. Therefore, it has guided the human resource to think
critically and produce new things and ideas. This is because the unguided and freedom
innovation can lead to certain discoveries which can be a good approach for the
academician researchers. However, in the same perspective, the organizations need to
implement certain programs and investment in innovation programs which might not
generate a suitable return.

In order to enhance the chances of success sin the

innovation process and strategy, it is important to guide the innovation process through
the inspirations of customer insights, product strategy, technological factors, and human
resource capabilities. In addition, this particular module has also provided me
opportunity to learn that the organizations need to develop an appropriate mode of
innovation. This innovative model needs to incorporate multiple layers and the
competitors must not have the ability to copy or imitate such model.
Through this module, I have learned the new concepts and perspective of innovation
management and learned that communication is a highly critical factor for designing
innovative products and services. Ineffective communication and flaws in the
communication process can result in delay in designing innovative products and
services. In addition, the flaws in the communication process can also lead to faults and
errors in the errors in the prototypes and delays in the release of the products which
undermine the success of an organization in the competitive world.

This particular model has provided a detailed overview of the marketing perspectives
and innovation in products and services. I have gone through several stages in this
module from a marketing perspective to innovative developments to the implementation
of innovative ideas and perspectives.

I have learned to develop certain frameworks

which are appropriate for creating the innovation and creativity in the organizations in
achieving long term and sustained advantage. The positive points of this journey include
the improvement in capability to develop and implement the innovation models into
several market environments. Moreover, I have also developed the practices through
which marketing concepts, processes and skills can be transformed into innovation
perspectives.
This journey of marketing design and innovation has not remained devoid of challenges.
Throughout the module, I have gone through difficult times while searching the
appropriate theories and practices which can be implemented to achieve innovation,
design innovative products and most importantly to implement those models in the real
world.

The implementation phase of the theories and models of innovation in this

module has offered me some difficulties which I covered through the assistance of
teachers and detailed study.
There are no details against the module or lectures. Every concept and perspective
learned in this module has practical implementation from an organizational point of view.
This module will be very effective and implementable in the future because the
competition is mounting every day and companies will need the innovation to a great
extent. In this perspective, the organizations will be seeking for the knowledge,
concepts and ideas in the designing and creation of market based innovation,
information transparency and patenting of the creative ideas. This experience and
learning gained through this module will serve as a base for me to develop my career in
innovation management.

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