11/4/15

 

New technological innovations have to adopt and fit into the existing market conditions. Some factors that impact how new technological innovation fits existing market conditions are path dependencies, network effects, standards and compatibilities.

• Path dependencies: the person must take into account the history of developments that are already being embedded in business. A new innovation must fit into an existing environment.
• Network effects: the impact that one user of a product or service has on the value for others.
• Standards and compatibilities: A new product or service can enter the market more easily if it is compatible with existing products and can meet standards already in the market.

 

Two factors that impact the “market window of opportunity” are hype and adoption cycles.

• Hype Cycle: Product or service popularized by the press as the next big thing.
• Adoption Cycles: Describes the acceptance of a new product or innovation.

 

An early adopter is a person who pays attention to new and innovative products. They are often referred to as opinion leaders because they are the first to try products. A product that is currently being used by early adopters is a drone. Drones are small aircrafts boarded by a high-resolution camera used to capture pictures and videos long distance. Only recently have the media put a spotlight on drones and their abilities. Drones are so new the government is in the process of making laws pertaining to privacy and where they can be used.