A manager wants to change both the business model and technology of an existing company. What most accurately describes this type of organizational effort?

Rationale

Radical innovation describes the effort to change both the business model and technology of an existing company.

This type of innovation fundamentally transforms how a company operates and delivers value, often involving significant alterations to both the underlying technology and the way the business is structured or functions.

A (Radical innovation) CORRECT

Radical innovation entails comprehensive changes that disrupt existing business models and technologies. It represents a departure from previous practices and often leads to the creation of new markets or substantial shifts in consumer behavior, making it the most accurate description of the manager's efforts.

B (Aston-innovation) YOUR ANSWER

Aston-innovation refers to a specific concept developed by researchers at Aston University, primarily focusing on the organizational change process rather than a broad classification of innovation types. It does not adequately capture the scope of changing both the business model and technology, making it less relevant to the scenario.

C (Semi-radical innovation) YOUR ANSWER

Semi-radical innovation implies moderate changes that may update aspects of a business model or technology but do not fully transform either. This term suggests a lesser degree of change than radical innovation and does not reflect the comprehensive overhaul intended by the manager.

D (Incremental innovation) YOUR ANSWER

Incremental innovation involves small, gradual improvements to existing products, services, or processes. It contrasts sharply with the notion of changing both the business model and technology, as it typically focuses on minor enhancements rather than fundamental shifts.

Conclusion

The manager's intention to change both the business model and technology signifies a move towards radical innovation, which is characterized by transformative changes that can reshape industries and create new market opportunities. Other options, such as semi-radical and incremental innovations, do not encapsulate the comprehensive nature of this effort, while Aston-innovation is not applicable in this context.

A manager wants to change both the business model and technology of an existing company. What most accurately describes this type of organizational effort?

Radical innovation describes the effort to change both the business model and technology of an existing company.

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