Change search
ReferencesLink to record
Permanent link

Direct link
Embracing risk to pursue product innovation in automotive industry
Luleå University of Technology. (Product Development Research Lab)
Luleå University of Technology. (Product Development Research Lab)ORCID iD: 0000-0002-9662-4576
2010 (English)Conference paper (Refereed)
Abstract [en]

A company’s ability to successfully introduce radically new products and services is a key success factor for sustaining competitive advantage. This is particularly true for the automotive industry, where smaller manufacturers with niche products struggle to compete with the large-scale efforts of their bigger competitors, and are thus in desperate need to innovate their way out of the current crisis. A key challenge for companies seeking innovation is how to better understand the role of risk in innovative practice. The purpose of this study is to investigate how managers within an automotive company perceive the concept of innovation and the relation between innovation and risk. The study is based on interviews with fifteen managers representing a cross-section of disciplines. The analysis of the informants’ answers resulted in two overarching themes, “novelty” and “value”, which were further broken down into seven sub-themes to highlight different facets of innovation that were raised by managers from these disciplines. While there were many similarities in the perceptions, the most striking differences related to; 1) innovation as being about the “combination of things to something new”, and 2) innovation as being about increasing “customer value”. Several informants noted that risk taking is a success factor to achieve innovation, but they also acknowledged that there are several inhibiting factors that are in contradiction with this approach, such as limited time and money. Further the paper has highlighted the crucial challenge of how to effectively balance risk and opportunity to invest in long-term opportunities, without risking short-term growth.

Place, publisher, year, edition, pages
University of Murcia , 2010.
National Category
Vehicle Engineering
URN: urn:nbn:se:bth-11254OAI: diva2:885818
17th International Product Development Management Conference IPDM, Murcia, Spain
Available from: 2015-12-21 Created: 2015-12-18 Last updated: 2016-01-07Bibliographically approved

Open Access in DiVA

fulltext(252 kB)24 downloads
File information
File name FULLTEXT01.pdfFile size 252 kBChecksum SHA-512
Type fulltextMimetype application/pdf

Other links

Search in DiVA

By author/editor
Larsson, AndreasLarsson, Tobias
Vehicle Engineering

Search outside of DiVA

GoogleGoogle Scholar
Total: 24 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

Total: 20 hits
ReferencesLink to record
Permanent link

Direct link