MGMT 640 Exam 2 Questions and Answers Already Passed Latest Update 2025-2026
The Innovation Process - AnswersIdea Generation, Opportunity Recognition (Idea
Evaluation/Incubation), Development, Commercialization
S-Curves - AnswersVisually depict how a product, service, technology or business progresses
and evolves over time (generalized development path). Can be viewed on an incremental level to
map product evolutions and opportunities or on a macro scale to describe the evolution of
businesses and industries. illustrates the growth and maturation of innovations as well as the
technological cycles that most industries experience.
3 types of technological change - Answersplatform, component, and design
Platform innovation - Answersthe emergence of a new technology based on scientific principles
that are distinctly different from those of existing ones. Ex: Compact Disk (CD) used a new
platform, laser optics, to write and read data when the prior technology used magnetism.
Component Innovation - AnswersOne that uses new parts or materials within the same
technological platform. Ex: magnetic tape, floppy disk, and zip disk differ by the use if
components or materials, but all are based on the same platform of magnetic recording.
Design innovation - AnswersA reconfiguration of the linkages and layout of components within
the same technological design. Ex: floppy disk decreased from 14 to 8 inches in 1978, to 5,25
inches in 1980, to 3.5 inches in 1985, and 2.5 inches in 1989, though each was based on
magnetic recording.
4 major stages of a technology's life cycle - AnswersIntroduction, growth, maturity, and decline
Introduction Stage - AnswersA new technological platform makes slow progress in
performance during the early phase of its product life cycle. Ex: the laser beam was a new
platform that required much time and effort to achieve the safety and miniaturization required
to use it as a surgical tool.
Growth Stage - AnswersWith continued research, the technological platform crosses a
threshold after which it makes rapid progress. Usually begins with the emergence of a dominant
standard around which product characteristics and consumer preferences coalesce. Ex: DVD vs
Blu-ray once blu-ray got the movie companies using it they won out.
Maturity and Decline Stage - AnswersAfter a rapid growth performance improvement period, the
new technology reaches a period of maturity after which progress occurs slowly or reaches a
ceiling, and then begins to decline.
4 items in Dr. Cooper's Innovation Diamond - Answers1. Strategy innovation
2. Resources (portfolio/ management)
, 3. Tactical Details / Gameplan / a stage gate process (from beginning to implementation)
4. People, cross-functional/good teams
no magic bullet
Market Pull - Answersthe innovations' source is a currently inadequate satisfaction of customer
needs, which results in new demands for problem-solving (invent-to-order' a product for a
certain need) the impulse comes from individuals or groups who (are willing to) articulate their
subjective demands. Looking for the best way of satisfying a newly emerging customers
demand. improvement of the existing products, extension of the existing offer or decrease price.
impulses for continuous, incremental innovations or for process innovations
Technology Push - AnswersThe stimulus for new products and processes comes from (internal
or external) research; the goal is to make commercial use of new know-how. the impulse is
caused by the application push of a technical capability. Therefore, it does not matter if a
certain demand already exists or not. Looking for commercial use of new impulses resulting
from the R&D results. Generating new markets for conceptually different products.
Innovation Funnel - AnswersIs a conceptual framework with a formal series of identifiable
inputs, actions, and outputs that are used to understand the relevance, risks, and value of an
idea as it progresses to maturity. the pipeline process should be flexible and scalable to enable
rapid evaluation and include appropriate stakeholders for stage gate approvals. the goal is not
only to identify new innovative opportunities, but also to quickly discard ideas that do not have
sustainable value.
Stage-Gate Model - Answersis an alternating series of development stages and assessments
"gates" that aims for early elimination of weak ideas and faster time-to-market for potential
good ideas.
Stage-Gate Process - AnswersGate 1: Idea Generation Stage 1: Preliminary Evaluation
Gate 2: Detailed Evaluation Stage 2: Product Definition
Gate 3: Decision to Develop Stage 3: Development
Gate 4: Decision to Test Stage 4: Testing
Gate 5: Decision to Commercialize Stage 5: Commercialization
This is just a simple model. there could be more or less stages/gates
Discounted Cash Flows - AnswersOne generally accepted method of evaluation of investment.
The Innovation Process - AnswersIdea Generation, Opportunity Recognition (Idea
Evaluation/Incubation), Development, Commercialization
S-Curves - AnswersVisually depict how a product, service, technology or business progresses
and evolves over time (generalized development path). Can be viewed on an incremental level to
map product evolutions and opportunities or on a macro scale to describe the evolution of
businesses and industries. illustrates the growth and maturation of innovations as well as the
technological cycles that most industries experience.
3 types of technological change - Answersplatform, component, and design
Platform innovation - Answersthe emergence of a new technology based on scientific principles
that are distinctly different from those of existing ones. Ex: Compact Disk (CD) used a new
platform, laser optics, to write and read data when the prior technology used magnetism.
Component Innovation - AnswersOne that uses new parts or materials within the same
technological platform. Ex: magnetic tape, floppy disk, and zip disk differ by the use if
components or materials, but all are based on the same platform of magnetic recording.
Design innovation - AnswersA reconfiguration of the linkages and layout of components within
the same technological design. Ex: floppy disk decreased from 14 to 8 inches in 1978, to 5,25
inches in 1980, to 3.5 inches in 1985, and 2.5 inches in 1989, though each was based on
magnetic recording.
4 major stages of a technology's life cycle - AnswersIntroduction, growth, maturity, and decline
Introduction Stage - AnswersA new technological platform makes slow progress in
performance during the early phase of its product life cycle. Ex: the laser beam was a new
platform that required much time and effort to achieve the safety and miniaturization required
to use it as a surgical tool.
Growth Stage - AnswersWith continued research, the technological platform crosses a
threshold after which it makes rapid progress. Usually begins with the emergence of a dominant
standard around which product characteristics and consumer preferences coalesce. Ex: DVD vs
Blu-ray once blu-ray got the movie companies using it they won out.
Maturity and Decline Stage - AnswersAfter a rapid growth performance improvement period, the
new technology reaches a period of maturity after which progress occurs slowly or reaches a
ceiling, and then begins to decline.
4 items in Dr. Cooper's Innovation Diamond - Answers1. Strategy innovation
2. Resources (portfolio/ management)
, 3. Tactical Details / Gameplan / a stage gate process (from beginning to implementation)
4. People, cross-functional/good teams
no magic bullet
Market Pull - Answersthe innovations' source is a currently inadequate satisfaction of customer
needs, which results in new demands for problem-solving (invent-to-order' a product for a
certain need) the impulse comes from individuals or groups who (are willing to) articulate their
subjective demands. Looking for the best way of satisfying a newly emerging customers
demand. improvement of the existing products, extension of the existing offer or decrease price.
impulses for continuous, incremental innovations or for process innovations
Technology Push - AnswersThe stimulus for new products and processes comes from (internal
or external) research; the goal is to make commercial use of new know-how. the impulse is
caused by the application push of a technical capability. Therefore, it does not matter if a
certain demand already exists or not. Looking for commercial use of new impulses resulting
from the R&D results. Generating new markets for conceptually different products.
Innovation Funnel - AnswersIs a conceptual framework with a formal series of identifiable
inputs, actions, and outputs that are used to understand the relevance, risks, and value of an
idea as it progresses to maturity. the pipeline process should be flexible and scalable to enable
rapid evaluation and include appropriate stakeholders for stage gate approvals. the goal is not
only to identify new innovative opportunities, but also to quickly discard ideas that do not have
sustainable value.
Stage-Gate Model - Answersis an alternating series of development stages and assessments
"gates" that aims for early elimination of weak ideas and faster time-to-market for potential
good ideas.
Stage-Gate Process - AnswersGate 1: Idea Generation Stage 1: Preliminary Evaluation
Gate 2: Detailed Evaluation Stage 2: Product Definition
Gate 3: Decision to Develop Stage 3: Development
Gate 4: Decision to Test Stage 4: Testing
Gate 5: Decision to Commercialize Stage 5: Commercialization
This is just a simple model. there could be more or less stages/gates
Discounted Cash Flows - AnswersOne generally accepted method of evaluation of investment.
