MANAGING INNOVATION AND ENTREPRENEURSHIP (Take home exam) Essay

MANAGING knowledgeableness AND ENTREPRENEURSHIP (Take home exam) - Essay ExampleIf these are non that effective, then entrepreneurs must have stopped development them for years. According to hall porters five forces model, there are authorisation entrants that are able to symbolize as relevant industry competitors. These new entrants are also capable of forming innovation and even imitation. china for instance is known for its low-cost intersection points that at some point similar to existing offerings, which makes imitation not that impossible to take place. Thus, it would make sense that in order to prevent others from imitating a product barriers to potential entrants should be made.According to Porter, barriers to entry includes economies of graduated table, product differentiation, capital requirements, switching costs, access to distribution channels, cost disadvantages individual of scale and government policy. We have been immersed mostly in the concepts of economi es of scale and product differentiation so I would like to focus on these two as important barriers to innovation, as based on Porters five forces model.The economies of scale would force the entrant to face two undesirable options come in at large scale and take chances strong reaction from existing firms choose small scale and accept cost disadvantage. In either of these choices, a new entrant needs to take the risk of losing his chance to successfully penetrate into the market.The other potential barrier to new entrant is product differentiation. Firms that already have brand identification and customer loyalties are hard to beat. Therefore, firms should thereof increase advertising, customer service, product differences and be the first into the industry in order to prevent potential entrants. Product differentiation therefore could at some point be highly associated with economies of learning, production techniques, production design and more, just to be able to create one-of -a-kind product that could bring competitive advantage and