Exam 4: Creativity and the Business Idea

Identify and describe the three majors types of innovation. A.Breakthrough - fewest in number,protection is important via patents,trademarks,copyrights,examples given by the text include: penicillin,the steam engine,the computer,the airplane,the automobile,the Internet,and nanotechnology. B.Technological - occurs more frequently than breakthrough innovation and in general is not at the same level of scientific discovery and advancement.These are very meaningful innovations,as they do offer advancements in the product/market area.As such,they usually need to be protected.Such innovations as the personal computer,the flip watch for containing pictures,voice and text messaging,and the jet airplane are examples of technological innovations. C.Ordinary - occurs most frequently,these more numerous innovations usually extend a technological innovation into a better product or service or one that has a different-usually better-market appeal.These innovations usually come from market analysis and pull,not technology push.In other words,the market has a stronger effect on the innovation (market pull)than the technology (technology push).One ordinary innovation (Spanx)was developed by Sara Blakely,who wanted to get rid of unsightly panty lines.Examples used Spanx and gloves/slippers for yoga.

This problem-solving method requires the entrepreneur to list the properties of an item or problem and then look at each from a variety of viewpoints.

Continuous innovations are described as:

The collective notebook method involves members recording their ideas at least once a day for about a week.

The entrepreneur's ability to recognize a business opportunity is a result of his or her knowledge and experience.

Focus groups use which of the following methods?

In reverse brainstorming the focus is on all the things that are right about an idea.

Forced relationships is a method of forcing confrontations in focus groups.

In the idea stage of the product planning and development process:

Which of the following was not discussed in the text as a breakthrough innovation?

The largest source of new product ideas is:

Attribute listing is an idea-finding technique that requires the entrepreneur to list the attributes of an item or problem and then look at each from a variety of viewpoints.

The largest source of new ideas is the U.S.Patent Office.

What percentage of small businesses have a website?

The files of the U.S.Patent Office are kept confidential and entrepreneurs cannot study their contents.

In the checklist method,a new idea is developed through a list of related issues or suggestions.

Which of the following statements is true?

Focus groups have been used for a variety of purposes since the 1920's.

One evaluation method successfully used in the concept stage is the systematic market evaluation checklist.

In what stage would it be most beneficial to use conversational interviews?