CHAPTER 1 QUESTIONS 1, 2, AND 9 ..

OLAF EIDE
* Innovation is entirely manageable, and in fact, is hardly mobile or even successful if it is not
carefully managed. An idea is just an idea, to see it through to action and progress requires
driven management. Systematic management is important, and can be facilitated by picking up
mere ideas and forging them into effective reality. This can be accomplished by investing efforts
in maintaining core fundamental processes including recognizing opportunities, finding
resources, developing the venture, and ultimately capturing value. In addition, innovation also
needs focused strategic leadership. This must simultaneously facilitate a climate for open
creativity, as well as a network of proactive links operating externally and within an
organization. To employ innovation requires exploration and understanding of it, of how to
change things. It must managed as a process which enables mobility and dynamic capability, and
keen innovation strategy to supplement forward mobility.

* If innovation is perceived merely as a venture to spark bright ideas, then productivity can be
only be measures in just that, ideas. If this is all there is to innovation, we lose any momentum,
and ultimately the mobility required to see those ideas through. There is no strategy, no way to
achieve, repeat, and maintain progress and success.

* In the case of low cost airlines, there is a primary mode of innovation which has been
employed. We see discontinuous innovation; air travel is fairly understood as being pretty costly,
but these new airlines have changed the game in making air travel affordable and even economic.
The consumers eye and wallet is suddenly glued to these newcomers, and things may begin to
look fairly grim for some existing competitors. We may also see paradigm innovation in the

airlines relations to consumers, and perhaps even process innovation in marketing and internal
function.