Using innovation to create competitive advantage
An Intel case study

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Page 2: Market or product orientated development

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business can develop its products either through product-orientated development or market-orientated development:

  • product-orientated development focuses on developing the production process and the product itself arising from for example, new use of technology or innovation
  • a market-orientated approach identifies and analyses customer needs. It then develops products which meet them.

Both approaches are important.

Right from its early days, Intel realised the importance of combining product innovation with a market-focused approach. Intel responds to both customer demand and product innovation. Its products are therefore 'user-centric', that is, the product development meets the needs of the customer.

Intel has anthropologists who study how people use technology in their lives. This information helps Intel's product design teams to understand what customer requirements are.

Intel also has a development programme to increase the capacity of a microprocessor. This fits with the two-year cycle in which the microprocessor is adapted or a new product is launched.

Intel | Using innovation to create competitive advantage
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