Ø  Analytical planning;

Here the entrepreneur identifies the product, service, design, marketing strategies and financial means. For example if an entrepreneur is going to manufacture a product the process will include obtaining materials, technical capabilities and staff to handle operations. In summary planning is all about preparation and identifying all the necessary resources before you start on the innovation.

Ø  Organizing resources;

The entrepreneur obtains and puts together the resources needed to successfully implement an innovation e.g. man power (employees) to work with the organization, machinery, money, technology, buildings etc. Once organized and put together, the resources will help the entrepreneur to act upon his new idea in the next stage which is implementation.

Ø  Implementation;

Here the entrepreneur implements his idea or takes action on his idea development to come up with efficient goods and services. In other words here the entrepreneur accomplishes his product or service design and starts offering such a product or service to the customers.

Ø  Commercialization;

At this stage the product or service is ready to provide value to the customer, reward employees (salaries, benefits, and incentives), revenue for investors and satisfaction for the providers. Studies reveal that for an innovation to succeed there are three important people involved and serve important conditions to satisfy;

THREE IMPORTANT PEOPLE INCLUDE;

Ø  Creative source;

This is the investor or organizer of the idea that lead to knowledge or vision of something new.

Ø  Champion;

This is an entrepreneur or manager who pursues the idea, acquiring resources, establish markets through persistent planning, organizing and leadership.

Ø  Sponsor;

 This is a person or organization that makes possible the activities and the investors’ dreams through support including advice, finance and contacts.

THE SEVEN CONDITIONS REQUIRED FOR AN INNOVATION ARE;

Ø  An outstanding leader;

There must be a leader or executive person to support strategic decisions that encourage creativity and innovative development.

Ø  Manager;

There must be a manger to carry out essential tasks of converting knowledge (product/service) into a commercial application.

Ø  Market;

There must be a clear need for the product or service by sufficient potential customers to warrant the commitment of resources to innovation;

 

 

Ø  Product or service acceptance;

The acceptance of the product or service as a useful innovation providing value to the society is so much important.

Ø  Cooperation;

Good cooperation among employees in the different functions or departments, management, finance, marketing, research and development in an organization all of whom together must bring the idea to success.

Ø   Resource availability;

Availability of resources and supporting technology to drive the success of the venture

Ø  Support from external sources;

Cooperation and support from external sources can influence the success of an innovation for example government agencies, investors, vendors, suppliers, creditors, environmentalists and others.

According to Schumpeter innovation is the introduction of new goods and services. It could be the discovery of a new market, raw materials and customers.

The art of introducing something; a new and unusual thing;

It could be a creation resulting from the study and experimentation;

It could be the cat of starting a new thing for the first time;

The implementation of anew or significantly improved idea, good, service, product; that is intended to be useful;

N.B

Innovation is supposed to add value. If an innovation satisfies the preference and tastes of people the price attached is value. In this case because it adds value, innovation leads to growth, quality, efficiency and productivity as well as competitiveness.