Posts Tagged ‘English’

Frugal Innovations for the ‘Unserved’ Customer: An Assessment of India’s Attractiveness as a Lead Market for Cost-effective Products

Thursday, March 1st, 2012

New publication from the Institute for Technology and Innovation Management, Hamburg University of Technology (TUHH)

Title: Frugal Innovations for the ‘Unserved’ Customer: An Assessment of India’s Attractiveness as a Lead Market for Cost-effective Products
Authored by: Rajnish Tiwari and Cornelius Herstatt
Publication date: March 2012
Download: http://www.global-innovation.net/publications/PDF/Working_Paper_69.pdf

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Abstract

This study builds on our previous work, which had questioned the validity of certain assumptions of the lead market theory in the face of changing ground realities in a globalized world. Sustained economic growth and proven technological capabilities in some “emerging economies” like China and India call for a reassessment of the appropriateness of the “conventional wisdom” that had held true until recently. While our previous study had “re-built” a theoretical background of the lead market model by introducing some new elements, and doing away with certain others, with the help of two in-depth case studies; the purpose of the present study is to specifically assess India’s potential as a lead market for cost-effective frugal innovations.

The study crystallizes the inherent characteristics of frugal innovations, their development process and market success in the domestic and overseas markets by analyzing four successful product innovations from selected industries in India. The factors identified thus are then incorporated in the theoretic model to derive propositions about India’s lead market potential. Whereas affordability and economies of scale have traditionally constituted the primary concern for frugal innovations, an increasing shift towards “value proposition” is identified. Intensifying competition and growing customer aspirations are changing the nature of frugal innovations. The hitherto unserved customer demands attractive designs and modern technologies to come out of his shell of “non-consumption”. Our research confirms that frugal innovations can benefit end-consumers and firms, simultaneously. Better-designed products also have positive impact on the lead market potential, creating a virtuous cycle. The study also discovered that the increasing need for sophistication coupled with continued cost pressures is shifting the product development processes into the domain of “open global innovation”, which also helps reduce the negative country-of-origin effects faced by developing countries. The research would have implications for location decisions in setting up global innovation/R&D activities.

Keywords: Lead Markets; Frugal Innovations; India; Bottom of the Pyramid; Global Innovation; Open Innovation; Emerging Economies.

The Hindu Business Line recommends reading Rajnish Tiwari’s article on Indian investments in Germany

Monday, February 13th, 2012

In an article titled “The horizon vocabulary” journalist D. Murali of The Hindu Business Line, a renowned newspaper from India, recommends reading an article (“Investment Destination Germany: Chances & Challenges for Indian Firms“) written by Rajnish Tiwari, Head of German-Indian Round Table in Hamburg:

Investment opportunities in Germany

In a significant contrast to their Chinese counterparts, Indian firms have so far tended to prefer developed Western countries for their investments, notes Rajnish Tiwari, Head of the German-Indian Round Table (GIRT) in Hamburg. Germany, along with the US and the UK, has emerged as a primary target for Indian FDI, he adds, in Investment destination Germany: Chances & challenges for Indian firms (www.ssrn.com). “With its established technological prowess, high-quality infrastructure and reliable institutional set-up, Germany is regarded as an excellent investment target by many Indian firms in their pursuit of newest technologies and commercially viable cutting-edge innovations,” Tiwari reasons.

The paper concedes that, since many Indian companies prefer to channelise their FDI projects to Germany through their existing domestic subsidiaries or through their daughter concerns in other European countries, the official data fail to capture the true extent of Indian engagement in Germany.

Tiwari urges Indian firms, therefore, to take advantage of Germany’s excellent physical infrastructure and technological know-how, including in the eastern part, while combining it with their own strengths in production, marketing, low-cost engineering, and business model innovations. Provides pointers that you may like to explore in detail.

Source: The Hindu Business Line, 11.02.2012

Direct link to the paper in question:
http://www.global-innovation.net/team/tiwari/PDF/Tiwari_BusinessGuide_2011.pdf

“Doing well by doing good”: New opportunities for Indo-German cooperation?

Sunday, October 2nd, 2011

Report in Germany Contact India, 5/2011, p. 17:

“Doing well by doing good”: New opportunities for Indo-German cooperation?

Last few years have seen the rise of several new and dynamic paradigms in innovation management, especially at the bottom of the population pyramid. These seek to motivate companies to develop affordable and good-quality products for rural and poor customers especially in developing economies.
Such ideas, though admirable in their own right, have in many instances failed to fully appreciate and utilize the power of innovative ideas and the rich heritage of traditional knowledge passed down the generations and are lying largely untapped.
Many local users in rural areas come up with inventions that are not only innovative and useful but also less expensive than the usual solutions available in the market. Other important features of these so called grassroot innovations are that they are environment friendly and in sync with the given infrastructural conditions. Examples of such innovations include water-based cooling systems that do not require electricity or non-sticky frying pans made of earth (clay).
The idea of grassroot innovations has been popularized by Professor Anil Gupta of the Indian Institute of Management (IIM) in Ahmedabad. Grassroot innovations are being fostered by institutions like the National Innovation Foundation (NIF) and the Honey Bee Network in India. The Institute of Technology and Innovation Management at Hamburg University of Technology (TIM/TUHH) has recognized the potential of this paradigm, both, for the practice of innovation management in firms and for giving an impetus to Indo-German cooperation in fields of science, technology and business. There are several studies currently under progress at TIM/TUHH to survey the potential implications of grassroots innovations.

TIM/TUHH, together with the German-Indian Round Table (GIRT), will hold a workshop during the India Week Hamburg 2011 to explore and demonstrate the vast cooperation opportunities for German companies, especially small and medium-sized ones, to assist the inventors with technical and marketing know-how. Mutual benefit can be found, for instance, in the giant domestic Indian market as well as in international marketing of such products in other corresponding markets of Africa, Latin America and Asia. Anil Gupta is scheduled to deliver the keynote address and to participate in a panel discussion. Other cooperation partners include India’s National Innovation Foundation (NIF) and the Hamburg Chamber of Commerce.

(Source: Germany Contact India, 5/2011, p. 17)

See a local copy as PDF: clipping-gc-tuhh (76 KB)

Grassroot Innovations: New Opportunities for Indo-German Cooperation?

Sunday, October 2nd, 2011

India Week Hamburg 2011

[Grassroot Event] [GIRT Events]

[Background] [Event Concept] [Agenda] [Venue & Date] [Registration] [Partners] [Downloads]

Background

source: rediff.comLast few years have seen the rise of several new and dynamic paradigms in innovation management, e.g. the “Bottom of the Pyramid” (BOP) or “Frugal Innovations”. These seek to motivate firms to develop affordable and good-quality products for rural and/or poor customers especially in developing economies. Such ideas, though admirable in their own right, have in many instances however failed to fully appreciate and utilize the power of innovative ideas and the rich heritage of traditional knowledge emerging at “grassroots” from common people.

Rather than selling to poor, as BOP implies, Honey Bee Network – an initiative from India – insists on buying from people, helping them disseminate a lot of creative knowledge as public goods, and/or as platforms for collective co-creation of location specific solutions. “Poor people are not sink, but source of ideas, innovations and initiatives,” says Prof. Anil Gupta of the Indian Institute of Management (IIM) in Ahmedabad, in a thought-provoking statement (see a collection of media reports on grassroot innovations).

Source: ndtv.comMany local users in rural areas come up with inventions that are not only innovative and useful but also less expensive than the usual solutions available in the market. Another important feature of grassroot innovations is that they are generally environment friendly and in sync with the given infrastructural conditions. Examples of such innovations include water-based cooling systems that do not require electricity, or non-sticky frying pans made of earth. The idea of “grassroot innovations” has been popularized by untiring and inspiring efforts of Prof. Anil Gupta, winner of Star of Asia – Opinion Shaper award of ” Business Week” magazine in 2001 and called “Gandhi of Technology” by the reputed German magazine “Der Spiegel”. Grassroot innovations are being fostered by institutions like the National Innovation Foundation (NIF), SRISTI and the Honey Bee Network in India.

The Institute of Technology and Innovation Management at Hamburg University of Technology (TIM/TUHH) has recognized the potential of this paradigm, both, for the practice of innovation management in firms and for giving an impetus to Indo-German cooperation in fields of science & technology, and business. There are several studies currently under progress at TIM/TUHH to survey the potential implications of grassroots innovations.

Event Concept

TIM/TUHH, together with the German-Indian Round Table (GIRT) and some other partners, e.g. the National Innovation Foundation of India and the Hamburg Chamber of Commerce (see Partners), will hold a workshop during the India Week Hamburg 2011 to explore and demonstrate the vast cooperation opportunities for German firms, especially small and medium-sized ones, to assist the inventors with technical and marketing know-how. Mutual benefit can be found, for instance, in the giant domestic Indian market as well as in international marketing of such products in other corresponding markets of Africa, Latin America and Asia. In some cases, e.g. herbal medicines, it might even be possible to introduce the products in Germany or other developed countries. Prof. Anil Gupta is scheduled to deliver the keynote address and to participate in a panel discussion.

Agenda

The event will be inaugurated by Prof. Dr. Garabed Antranikian, President of the Hamburg University of Technology and Mrs. M. Subashini, the Hon’ble Consul General of India in Hamburg. We have confimed participation of Prof. Anil Gupta (National Innovation Foundation, Ahmedabad) and Prof. Luc Soete (UNU-MERIT, the Netherlands). For a complete list of speakers and the programme agenda please see:

Agenda (PDF, 61 KB) as on: 23.09.2011.

Venue & Date
Venue: Plenarsaal, Hamburg Chamber of Commerce

Date: Thursday, 20th October 2011, 12:00 – 18:00h.

Registration

The event is intended primarily for business firms, scientific and research community, institutional players and other interested person with an interest in the field of grassroot innovations, the so-called “Bottom of the Pyramid”, frugal engineering and in Indo-German an/or Indo-Euroean cooperation. Participation is free of charge. However, due to limited number of seats we require a binding pre-registration for the event. The registration will be possible between 5th September to 14th October. Please download the registration form (PDF, 460 KB) here and send it by e-mail (grassroot@tu-harburg.de) or fax (+49 (0)40 42878 2867) to us. Please note that owing to capacity constraints we might not be able to accept all the registrations and shall individually confirm the acceptance.

Event Partners

Organizers: Hamburg University of Technology (Institute for Technology and Innovation Management), German-Indian Round Table (GIRT) Hamburg, National Innovation Foundation (Ahmedabad/India), Hamburg Chamber of Commerce

Event Sponsor: Mahindra Satyam

Media Partner: Indien Aktuell

Cooperation Partner: Hamburg section of the German-Indian Society (Deutsch-Indische Gesellschaft e.V.)

Downloads

Event Description (English): PDF, 313 KB

Veranstaltungsbeschreibung (German): PDF, 275 KB

[Download India Week Flyer, PDF, approx. 4 MB] [Download Program Booklet, PDF, approx. 1.4 MB]

Agenda for the Symposium “Grassroot Innovations: New Opportunities for Indo-German Cooperation?”

Monday, September 26th, 2011

Many local users in rural areas come up with inventions that are not only innovative and useful but also less expensive than the usual solutions available in the market. Another important feature of grassroot innovations is that they are generally environment friendly and in sync with the given infrastructural conditions. Examples of such innovations include water-based cooling systems that do not require electricity. The idea of “grassroot innovations” has been popularized by untiring and inspiring efforts of Prof. Anil Gupta, called “Gandhi of Technology” by the reputed German magazine “Der Spiegel”.

The Institute of Technology and Innovation Management at Hamburg University of Technology, together with the Hamburg chapter of German-Indian Round Table (GIRT), will hold a symposium during the India Week Hamburg (on 20th October 2011) to explore and demonstrate the vast cooperation opportunities for German firms, especially small and medium-sized ones, to assist the inventors with technical and marketing know-how. Mutual benefit can be found, for instance, in the giant domestic Indian market as well as in international marketing of such products in other corresponding markets of Africa, Latin America and Asia. In some cases, e.g. herbal medicines, it might even be possible to introduce the products in Germany or other developed countries. Prof. Anil Gupta is scheduled to deliver a keynote address and to participate in a panel discussion. Other speakers at the event include Prof. Dr. Luc Soete (Founding Director, UNU-MERIT), Prof. Dr. Hugo Tschirky (ETH Zurich / Member of the Board of Directors of Canon Switzerland Ltd.), Dr. Klaus Gronwald (Mahindra Satyam), Aline Krämer (endeva), Klaus Sieg and Joerg Boethling (both from ‘agenda – photographers and journalists’, Anup Karath Nair (Strathclyde University Business School), and Dr. Stephan Buse and Rajnish Tiwari (Hamburg University of Technology / German-Indian Round Table Hamburg).

See: Agenda & Speakers (as on 23.09.2011).

Please register yourself by 14th October 2011:

Registration Form (send by e-mail: grassroot@tu-harburg.de / or by fax: +49 (0)40 428 78 2867)