LATEST MAN 4720 VERIFIED SOLUTION 100% CORRECT ANSWERS

________ is best described as the process of transformation of an idea into a new product or process, or the modification and recombination of existing ones. - invention - direct imitation - bootstrapping - lean manufacturing - ANSWER invention Invention describes the transformation of an idea into a new product or process, or the modification and recombination of existing ones. Which of the following statements about patents is not true? - A patent over a product translates into a permanent monopoly position. - A patent can be enforced in court. - A patent is a form of intellectual property. - A patent can be obtained when an invention is useful, novel, and non-obvious. - ANSWER A patent over a product translates into a permanent monopoly position. In the United States, the time period for the right to exclude others from the use of the technology is 20 years from the filing date of a patent application. Exclusive rights often translate into a temporary monopoly position until the patent expires. In the third step of the innovation process, a(n) - invention is imitated by competitors. - new idea is presented in terms of abstract concepts. - new idea is expressed as findings derived from basic research. - invention is commercialized by entrepreneurs. - ANSWER invention is commercialized by entrepreneurs. The innovation process begins with an idea. In the next step, invention describes the transformation of an idea into a new product or process, or the modification and recombination of existing ones. This is followed by commercialization. Innovation concerns the commercialization of an invention by entrepreneurs. Janet is a marketing and sales employee at 4-Ever-Foods Inc. She has invented a new way to process and pack the company's food products that would avoid the usage of chemical preservatives. Which of the following terms best describes Janet? - a category captain - an intrapreneur - a venture capitalist - a franchised dealer - ANSWER an intrapreneur Janet is an intrapreneur. When innovating within existing companies, change agents are often called intrapreneurs: those pursuing corporate entrepreneurship. _______ is best described as the process by which people undertake economic risk to innovate—to create new products, processes, and sometimes new organizations. - crowdsourcing - headhunting - cannibalization - entrepreneurship - ANSWER Entrepreneurship Entrepreneurship describes the process by which change agents undertake economic risk to innovate—to create new products, processes, and sometimes new organizations. Redwood Corp. follows a business model in which the performance of the company is not only based on how much profits were generated, but also on how the community in general benefited from its operations. Thus, the company under its "Plant a Life" campaign promises to plant a tree with every customer purchase. Which of the following terms best describes the performance valuation model of Redwood Corp.? - crowdsourcing - social entrepreneurship - offshoring - corporate intrapreneurship - ANSWER social entrepreneurship Redwood Corp. uses the performance valuation entrepreneurship business model. Social entrepreneurship describes the pursuit of social goals by using entrepreneurship. Social entrepreneurs evaluate the performance of their ventures not only by financial metrics but also by ecological and social contribution. Which of the following is a disadvantage faced by first movers in an industry? - They will have no access to intellectual properties such as critical patents. - They cannot benefit much from network effects. - They cannot benefit from learning and experience curve effects like the late entrants. - They will have to find distribution channels and complementary assets. - ANSWER They will have to find distribution channels and complementary assets. First movers must educate potential customers about the product's intended benefits, find distribution channels and complementary assets, and continue to perfect the fledgling product. In a typical industry life cycle, an industry immediately moves to the ________ after the introduction stage. - maturity stage - growth stage - shakeout stage - decline stage - ANSWER growth stage If successful in the introduction stage, the industry moves to the next stage of the life cycle; the growth stage. Which of the following statements is true of the growth stage in the industry life cycle? - The objective of firms during this stage is to pursue a harvest strategy. - The prices begin to fall during this stage when compared to the introduction stage. - The type of buyers during this stage consists of the late majority. - The basis of competition tends to move away from process innovations toward product innovations. - ANSWER The prices begin to fall during this stage when compared to the introduction stage. Prices begin to fall in the growth stage, often rapidly, as standard business processes are put in place and firms begin to reap economies of scale and learning. While the industry for tablet computers is in the growth stage, the laptop industry is in its shakeout stage. What does this imply? - The tablet industry is ahead of the laptop industry in the industry life cycle. - While the market demand for tablets will be high, the demand for laptops will be limited. - The number of competitors entering the laptop industry will be more than those entering the tablet computers industry.