Questions:
1 What type of innovation is Go Pro? Explain your rationale. (~150 words, 5 points)
The original Go Pro was a market breakthrough, disruptive product because it changed the way that the video camera industry recorded memories. “Market breakthrough products are products that are totally new to the marketplace.” (Supplement to Chapter 6 Video, Minute 18:57) The original video camera would have been the radical product because it was a new technology that hadn’t yet been discovered. The Go Pro is also a new product in the video camera industry, therefore, it is a market breakthrough. A “disruptive innovation changes the game.” These types of products, such as the Go Pro, change the market behavior and reduce current solutions in the …show more content…
In a world dominated by information and the desire to have access to that information at all times, the smartphone was that access and remains one of the most popular sources of information in the world. Smartphones lead their industry in relative advantage, compatibility, and complexity. The relative advantage of smartphones in its industry exceeds the relative advantage of Go Pros in the marketplace because smartphones can do so much more than record videos. In addition, smartphones dominate the mobile phone market because they offer so many additional features such as send and receive email, social media applications, and games. As for Go Pros, not everyone needs a Go Pro to record video. Many consumers even use their cell phones to take similar videos that the Go Pro is capable …show more content…
The second growth strategy I would suggest is diversification. Currently, small rectangular or square products and a line of product accessories represent Go Pro products. The company should strive to diversify their product lines with new technologies to be utilized in different ways or to include different colors. By diversifying their product, new products may appeal to different users within their markets and thus growing revenues. This strategy could be represented by a line extension (Gorchels, p. 155) with products that represent specific issues or niches consumers have asked for. An additional opportunity to utilize this growth strategy is through acquisition. By acquiring new up and coming brands with potentially competing products, there is opportunity to increase diversity in the product line and increase revenue. “Aside from divesting poorer products, they undertook a series of leveraged acquisitions of the class of consumer products companies that now characterize the portfolio.” (Horizon Kinetics, p. 3) This is the most risky of growth strategies. However, sometimes high risk equals high
1 What type of innovation is Go Pro? Explain your rationale. (~150 words, 5 points)
The original Go Pro was a market breakthrough, disruptive product because it changed the way that the video camera industry recorded memories. “Market breakthrough products are products that are totally new to the marketplace.” (Supplement to Chapter 6 Video, Minute 18:57) The original video camera would have been the radical product because it was a new technology that hadn’t yet been discovered. The Go Pro is also a new product in the video camera industry, therefore, it is a market breakthrough. A “disruptive innovation changes the game.” These types of products, such as the Go Pro, change the market behavior and reduce current solutions in the …show more content…
In a world dominated by information and the desire to have access to that information at all times, the smartphone was that access and remains one of the most popular sources of information in the world. Smartphones lead their industry in relative advantage, compatibility, and complexity. The relative advantage of smartphones in its industry exceeds the relative advantage of Go Pros in the marketplace because smartphones can do so much more than record videos. In addition, smartphones dominate the mobile phone market because they offer so many additional features such as send and receive email, social media applications, and games. As for Go Pros, not everyone needs a Go Pro to record video. Many consumers even use their cell phones to take similar videos that the Go Pro is capable …show more content…
The second growth strategy I would suggest is diversification. Currently, small rectangular or square products and a line of product accessories represent Go Pro products. The company should strive to diversify their product lines with new technologies to be utilized in different ways or to include different colors. By diversifying their product, new products may appeal to different users within their markets and thus growing revenues. This strategy could be represented by a line extension (Gorchels, p. 155) with products that represent specific issues or niches consumers have asked for. An additional opportunity to utilize this growth strategy is through acquisition. By acquiring new up and coming brands with potentially competing products, there is opportunity to increase diversity in the product line and increase revenue. “Aside from divesting poorer products, they undertook a series of leveraged acquisitions of the class of consumer products companies that now characterize the portfolio.” (Horizon Kinetics, p. 3) This is the most risky of growth strategies. However, sometimes high risk equals high