• What would your choice be?
Ever hear of New Coke? In 1985 the Coca-Cola Company decided to retire the existing Coke formula in use for decades and replace it with a sweeter formula in order to compete with increased Pepsi Sales (New Coke, 2016). The plan backfired and public outrage was so furious, in three short months the original formula was brought back. New Coke is an often attributed cautionary tale against tampering too extensively with a well-established and successful brand (New Coke, 2016). Chesbrough (2006) makes it very clear that most innovations fail, and companies which don’t innovate die.
We will examine here two software technology paths, one with great risk but tremendous reward potential (Plan A), the other with low …show more content…
The 2007–2009 housing market financial crises provide a good example of such unintended consequences (HBR .ORG). However, with technology, society must be sold on why they need a new gadget. Imagine if Apple released the original iPhone with no marketing or demonstration of capability. It is extremely doubt full without a strategic plan which is rapid enough to evolve with the changing needs of the business consumers would not have paid the $599 bucks for a black square with a shiny screen (IPhone (1st generation), …show more content…
Considerations must be given to how developmental software will impact the industry as a whole and how it will be impacted by an industry. As complexity and innovation level of the product increases, the greater the likely hood of consequences will be (Ncsuedu, 2016). Knowledge gaps are a major issue in risky projects (Salvendy, 2007). Potential effect of sources beyond the control of the company must also be considered, such as laws, industrial espionage, and various government agencies and regulations not yet envisioned.
In a case like the one illustrated above the CEO should consider not just plan A or plan B but the feasibility of both plans. As stated earlier if companies don’t continue to develop new products, they could die. Granted focusing on one project may reduce the potential associated risks (Salvendy, 2007) but with a mature established company it should be large enough to do execute both plan. This would then remove several of the weaknesses in both plan A and plan
Ever hear of New Coke? In 1985 the Coca-Cola Company decided to retire the existing Coke formula in use for decades and replace it with a sweeter formula in order to compete with increased Pepsi Sales (New Coke, 2016). The plan backfired and public outrage was so furious, in three short months the original formula was brought back. New Coke is an often attributed cautionary tale against tampering too extensively with a well-established and successful brand (New Coke, 2016). Chesbrough (2006) makes it very clear that most innovations fail, and companies which don’t innovate die.
We will examine here two software technology paths, one with great risk but tremendous reward potential (Plan A), the other with low …show more content…
The 2007–2009 housing market financial crises provide a good example of such unintended consequences (HBR .ORG). However, with technology, society must be sold on why they need a new gadget. Imagine if Apple released the original iPhone with no marketing or demonstration of capability. It is extremely doubt full without a strategic plan which is rapid enough to evolve with the changing needs of the business consumers would not have paid the $599 bucks for a black square with a shiny screen (IPhone (1st generation), …show more content…
Considerations must be given to how developmental software will impact the industry as a whole and how it will be impacted by an industry. As complexity and innovation level of the product increases, the greater the likely hood of consequences will be (Ncsuedu, 2016). Knowledge gaps are a major issue in risky projects (Salvendy, 2007). Potential effect of sources beyond the control of the company must also be considered, such as laws, industrial espionage, and various government agencies and regulations not yet envisioned.
In a case like the one illustrated above the CEO should consider not just plan A or plan B but the feasibility of both plans. As stated earlier if companies don’t continue to develop new products, they could die. Granted focusing on one project may reduce the potential associated risks (Salvendy, 2007) but with a mature established company it should be large enough to do execute both plan. This would then remove several of the weaknesses in both plan A and plan