Abstract
The case illustrates the overall analysis of the PellencST as the focal innovator and producer of wastage control equipment for different clients and for different projects. The company offers customized products based to clients that help them control the waste produced during the manufacturing process.The case discusses the company’sstrategy under the domain of product innovation or service innovation, closed innovation or open innovation, technological or business based innovation, along with the discussion of the companyunder the light of disruptive innovation, initiation strategy and first-mover and second mover advantage.
Since over the period of time, organization has adopteddifferent innovation strategies to sustain and grow in the market,it has been analyzed that the organization with new market adopted the product developmentinnovation to capture more market share, while the long sustained companies pursue the process innovationsstrategies to cut costs and increase profit margins in tightly held market and intense competition.Since the PELLENCST started its operation in 2001, it has developed strong product development innovation in the existing market and is expanding in other markets using the same product innovation strategy.Though the company has not pursued the first mover strategy in recycling industry, yet, it has developed substantialmarket share and leadership position in the American market.
PellencST Harvard Case Solution & Analysis
The report thus discusses different aspects of innovation implied on the PellencST and details the impact on the overall strategy of the companywhile moving in the recycling industry.
Keywords: Innovations, Disruptive technology, First-Mover advantage, Pace of innovation, entry Strategy, product innovation, process innovation.
Analysis
1- With regards to your Focal Innovation, please identify innovations of the following types: a) product innovation; b) process innovation; c) marketing innovation; d) organizational innovation
PellencST offers waste and recycling managementequipmentand design technologies to clients.It produces different equipmentfor the clients based on the different features demanded by the client organization. Such establishment of strategyplaces the company in product innovation category.
Since 2001, the company has continually evolvedandexpanded into 100 different countries offering the different wasteand recycling controlling equipment to different clients.Since the techniques and business nature of the client organizationdifferfrom each other, the companydesigns the product accordingly, pursuingthe customization strategy to enter into the new market and to continuallyexpand the market penetration and increase market share simultaneously.The company excels in automaticwaste sorting solution and optical sorting technologies and holds the leading position in theAmerican market.
2- Is your Focal Innovation primarily technology push and/or market pull?
By analyzing the companyprofile, it can be seen, that PellencST pursues themarket pull strategy in the market.Such analysis has been derived by analyzing the organizational strategy that caters the customers’ needs to manage the waste in the environment.With theincreasing UN policies to control wasteand secure the environment, manyorganizations in the market are pursuing the strategies and using such technologies that can reduce the waste in the market and also allow the business to recycle the by-products inan effective manner so to reduce the wastequantity in the environment.Such demand has been analyzed bythe PellencST and thus it developed the business model offering the waste management and recycling techniques and solution to these business................
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