Innovation, research and development
A Dyson case study

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Page 2: Investments

Dyson 4 Diagram 1Dyson firmly believes that a company’s profits should be invested back into research and development, rather than continuing to sell an ordinary product only on the strength of the way it is advertised or marketed. For example, spending money on a new advertising campaign may be quite a good way to encourage a lot of people to buy something very quickly, but if they discover that the product itself is not of high quality, or does not fulfil their needs, they will not buy it again. This means the company will have a short burst of profits for a relatively small expenditure, but will not be profitable in the long-term.

A consumer will be encouraged to buy and keep buying a company’s products if they know from experience that they work well and do exactly what they are intended to do. In addition, Dyson aims to design products that are revolutionary and work better. To achieve this a company needs to spend a lot of time investing in research, testing and development to discover exactly what the consumer needs and design the best solution. At Dyson this idea extends to every part of the development process: design, engineering, patenting, sales, customer care and after sales.

The invention of the first Dyson Dual CycloneTM vacuum cleaner was only possible because of the time and money which James and the team invested in the development of the DC01, which was protected by patents so no one could copy the revolutionary idea.

Dyson | Innovation, research and development
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