Making sense of the challenges new markets present.
As appeared in December's issue of Harvard Business Review
In today's economic climate, businesses need to diversify to new markets so as to create new revenue streams and remain competitive. However, to penetrate and meet the growing demands of such emerging markets, companies are often in two minds - whether to innovate or adapt their business model. In this round of the Singapore Sessions, we catch up with Scott Anthony and three other leading experts to unravel the best strategies for developing innovative products in diverse new markets.
Find out more about the Sessionists' perspectives here.
The Session
WEBINAR OVERVIEW
Most companies are entering new markets in pursuit of growth. Achieving growth from new markets won't come from either adapting or innovating; it will come doing both, at the appropriate time. This means adapting when the customer, business model, and job are similar in a new market as in a current market; it means innovating when customers and business models differ and when adapting won't work.
For successful innovation in local markets, companies like Cisco and Procter & Gamble are locating multifunctional teams in markets to better understand customers and constraints, to experiment, and to devise the most effective solutions. Dr. Sheth sees this as a new paradigm of "think local, act global." In this paradigm, companies will have localized resources that are focused on delighting consumers in local markets. They will take ideas, products, and practices that are developed locally and seek to leverage them globally.
This webinar brought together experts on innovation and practitioners who have tackled the challenges of developing new products and services in new markets. They shared their perspectives and experiences on adapting existing offerings or innovating from the ground up.
Yes
NoAbout the sessionists
Bruce Brown
Chief Technology Officer
Procter & Gamble
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Jagdish Sheth
Charles H. Kellstadt Professor of Marketing
Emory University, Goizueta Business School
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Scott Anthony
Managing Director
Innosight Ventures
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Inder Sidhu
Senior VP of Strategy & Planning
CISCO
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Recommend this session
FEB 201101
Posted by Pramod, India
The answer to the debating question to innovate or adapt products for new markets depends on the flexibility of firm's business model to adapt for various markets. Currently since companies are expanding and want to have global presence, the strategy of single innovation centre catering to different geographical regions is loosing ground and the concept of different innovation centres for different geographical locations is gaining momentum. So in market innovations that disrupt respective markets along with wider adaptability can be the solution for this debatable question.
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JAN 201130
Posted by Pramod, India
The answer for the debate- adapt or innovate products for new markets lies in moulding the business models to different consumer segments. Cisco's business model in the past was single innovation centre (hub) catering to different geographical locations (spokes).The strategy then shifted to multiple hubs and multiple spoke strategy where innovation and adaptation was blended and Cisco reaped the benefits. This strategy can be referred as Global Factory where firms have different innovation centres (referred as hubs) catering different geographical locations (referred as spokes)that blend both innovation and adaptation strategies. In my view,in market innovations with greater adaptation can be one of the prescriptions for this debate.
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