• Mandatory projects. Large investment, small opportunity yet substantial spend and little
chance of financial return; however, these projects are mandatory to an organisation and
need to be conducted regardless (e.g. the National Broadband Network).
• Breakthrough innovation. Large investment and large opportunity if the organisation is willing to incur high expenditure, with the chance of increased financial return if successful (e.g. voice recognition technology, Virgin space travel).
• Incremental innovation. Small investment and opportunity; however, often little expense incurred and the potential for a slight return on investment (e.g. often exhibited by phone and automobile products, where each new model released features innovative creations that improve on the previous model).
• High growth business. Small investment yet large opportunity which may incur a substantial expense; however, it could result in a high return on investment if successful (e.g. the development of ‘apps’ to support the organisation’s products and services).
A decision by the organisation about which category to pursue and develop will help eliminate ideas that are outside the scope of the risk the organisation wants to take in developing these ideas into innovative products and services.
which focuses on developing the existing products and markets to obtain market growth and improve on competitors. This innovation is often conducted on a business unit basis, on a smaller scale and with fewer dedicated resources. For example,e,g Colgate widening opening to increase usage