chapter 12

In the context of company culture, which of the following statements is true of Google's "70-20-10 rule"? Employees are expected to divide their time in the following manner: 70 percent on related projects, 20 percent on the main tasks, and 10 percent on exploratory projects. Employees are expected to divide their time in the following manner: 70 percent on the main tasks, 20 percent on related projects, and 10 percent on exploratory projects. Employees are expected to divide their time in the following manner: 70 percent on the main tasks, 20 percent on community service, and 10 percent on organizational management. Employees are expected to divide their time in the following manner: 70 percent on exploratory projects, 20 percent on related projects, and 10 percent on community service.

Employees are expected to divide their time in the following manner: 70 percent on the main tasks, 20 percent on related projects, and 10 percent on exploratory projects.

performance improving innovations

improvements to existing products or ideas that meet more of a customers' needs

The management at Gayle Systems believes that as it has its products and services spread across the globe, identifying problems and obtaining their solutions cannot be undertaken if the issue is not looked at from the local perspective. It believes that local market problems should be first understood, followed by reaching out to peers globally to search for unique solutions, and lastly, the knowledge obtained at the local source should be combined with the foreign knowledge. This exemplifies that Gayle Systems follows the ________. manager's decorum innovator's imperative researcher's protocol inventor's outlook

innovator's imperative

Which of the following is a difference between innovation and an invention? Innovation is the combination of new or existing ideas, whereas an invention is a completely new concept or product. A new invention is the commercialization of innovation, whereas the vice versa is not true. Innovations necessarily build on new inventions, whereas inventions do not necessarily build on innovations. Innovation is the creation of a product for the first time, whereas invention is the improvement of an existing product.

Innovation is the combination of new or existing ideas, whereas an invention is a completely new concept or product.

Jillone Technocraft has developed a new kind of couch that can be converted into bedding without the efforts of having to pump air in or out. The new technology behind the making of this couch is unique and a complete innovation by the design team at Jillone. Although the company is not sure how effective it will be in attracting a new customer base, it is still confident and wants to take the risk. Which of the following is most likely the reason Jillone has chosen to incorporate market-creating innovation? It wants the company to grow in size and achieve an increase in its revenue. Time-consumption during the development phase is minimal. It wants to test its product in the market before the product's release. Profit generation is certain.

It wants the company to grow in size and achieve an increase in its revenue.

Gama Technosoft plans to remodel and restructure their cell phones and to launch a new version. However, Linda, the head of the design team, was skeptic of this idea. The management tried to convince Linda saying that it will keep the company growing as the new product will be refreshing for the customers. Which of the following statements can justify Linda's viewpoint in this scenario? It would only attract first-time buyers and not the existing customers. The sales of a new model will not be able to replace the sales of the existing model. An improvement to the existing product will discourage private spending by increasing taxes. It will have limited potential to capture additional market share.

It will have limited potential to capture additional market share.

The management at Hioven Phones believes in performance-improving innovations. The team decides to remodel its second version of cell phone with enhanced user-interfaces and launch a new third version of the same cell phone. Which of the following is likely to happen in this scenario? Resources used for the production of the old version of the cell phone cannot be shifted to the production line for the new version. First-time buyers are more likely to be attracted than repeat customers. Sales of the new version of the cell phone will replace sales of the older version. There will be a huge potential for creation of new jobs.

Sales of the new version of the cell phone will replace sales of the older version.

Samantha, the technical lead at Marrium Infotech, is against the management's decision to try market-creating innovations instead of performance-improving or efficiency-enhancing innovations. The management justifies its view by saying that this would create a new market and enhance the company's growth. Which of the following statements can Samantha use to justify her viewpoint? Implementing market-creating innovations will lead to a decrease in the company's revenue. The market-creating innovation results cannot be tested in the market before the product's release. Implementing market-creating innovations will prevent a company from reaching prospective customers. The market-creating innovation will fail to create a new class of consumers.

The market-creating innovation results cannot be tested in the market before the product's release.

Jenny, a science scholar, has been working in the field of nanotechnology for more than seven years. She has developed a new technique that can be used to treat melanoma. She wants to acquire a patent for this technique. Which of the following facts should Jenny know before applying for a patent? Patents are applicable only in the home country where it has been registered. Patents are not backed by the government. Applying for a patent is cheaper compared to other forms of protecting intellectual property. The patent application process is time-consuming.

The patent application process is time-consuming.

Kale, Rob, and Sid, who worked for Gramat Tech, quit their jobs and started a new company together that would develop a product competitive enough to be launched in the market alongside the new creation of Gramat Tech. As the three had sound design ideas, they replicated most of the technical aspects of the product that Gramat was developing. However, they lacked knowledge about the science that would make the device operate efficiently. In this scenario, which of the following steps of the innovator's imperative seems to be missing? Going local Minimizing goals Reaching out Uncovering principles

Uncovering principles

In the context of the various modes that businesses use to keep their intellectual property safe, which of the following is a difference between a patent and a copyright? Unlike a patent, a copyright cannot be granted by national governments. Unlike a patent, a copyright cannot be issued for literary works. Unlike a patent, registration of a copyright is mandatory. Unlike a patent, a copyright is granted to authors of artistic work.

Unlike a patent, a copyright is granted to authors of artistic work.

Which of the following is a difference between efficiency-enhancing innovations and market-creating innovations? Unlike efficiency-enhancing innovations, market-creating innovations prevent companies from growing in size. Unlike efficiency-enhancing innovations, market-creating innovations create a new class of consumers. Unlike efficiency-enhancing innovations, market-creating innovations provide certainty in generating profits. Unlike efficiency-enhancing innovations, market-creating innovations lead to decreasing revenue of a company.

Unlike efficiency-enhancing innovations, market-creating innovations create a new class of consumers.

invention

a new concept or product that derives from ideas or from scientific research

efficiency enhancing innovations

changes to existing products or ideas that make them lower costs

innovation

combination of new or existing ideas to create marketable value

According to Dr. Brian Junling Li, the vice president of Alibaba Group, innovation: comes from the preparedness to deal with the uncertainty of the future. comes from organized plans. should be based solely on a new concept or product. should necessarily build on new inventions.

comes from the preparedness to deal with the uncertainty of the future.

Renu, who runs a drama academy, has conceptualized and created a drama sequence based on historical facts. The creation of this epic drama is unique and nothing close to what people have witnessed before. In this scenario, Renu's drama is eligible for a ________. copyright permit trademark footprint

copyright

open innovation platforms

electronic platforms through which people from different companies and independent contractors work collaboratively with internal R&D staff to innovate

ThroHon Tech considers its customers to be co-innovators and believes in involving them in the innovation process. It has begun its own innovation management software that can be accessed by a Web browser for tracking innovation programs. This software is a platform that provides complete data starting from the base idea up to the execution process of an entire program. This allows global customers who are technically proficient to suggest improvements and provide their views. This initiative by ThroHon Tech exemplifies the use of ________. balanced benchmarking chains proactive invention plans market trading analyses open innovation platforms

open innovation platforms

Shane has researched stem cells for almost two years and has made a unique contribution to the healthcare sector with his innovation related to the treatment of congenital deformities. He needs to acquire a legal protection for his work, for which he is willing to disclose the technical details associated with his creation to the issuing authority. Which of the following will be granted to Shane in this scenario? A copyright A trademark A patent A permit

patent

market creating innovations

products or ideas that meet the needs of a group of potential consumers whose needs have not been met before

Which of the following steps of the innovator's imperative helps to fertilize local ideas by improving the root structure? Scheduling invention Encoding principles Minimizing goals Reaching out

reaching out

GlobalHead Foundation is a profit-making organization that conducts welfare programs for differently-abled children. It strives to keep its pace with its competitors and comes up with equivalent programs that can benefit the children. Recently, the management of GlobalHead had ideas that could put it in the forefront of the healthcare sector. However, the company has been reluctant to take risks and go beyond its usual workflow. In this scenario, GlobalHead is required to ________. have a rotational design set a stretch goal have a situational constraint set a cognitive target

set a stretch goal

In the context of foundations of culture, ________ are company-level objectives that require the company to do something beyond what others might reasonably expect, pushing efforts in new directions or to new levels. cognitive assessments proactive needs stretch goals situational constraints

stretch goals

innovator's imperative

the need for individuals to understand local market problems, to reach out to others globally to search for unique solutions to the problem, and to uncover the causal relationships found within that foreign knowledge to ensure it is correctly applied to the local problems

MedForum Labs has invented a new composition to cure chronic arthritis. In the context of protecting intellectual property, the formula used by MedForum to make the composition can be protected as a ________. copyright trademark permit trade secret

trade secret

Snaine Fashions has launched its new collection of designer bags. It uses its registered logo at the front of all its branded bags. The brand logo is attractive and symbolizes the class that the brand name carries. The logo also helps customers quickly recognize and associate the bags with its maker. In this scenario, the logo being used by Snaine Fashions is a ________. patent permit franchise trademark

trademark