Incremental and Architectural Innovation

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Incremental innovation Incremental innovations can lead to a significant improvement in price or functionality. As companies primarily compete in price or quality or both, improving either or both of these characteristics can make late entrants very successful. Market leaders, who frequently introduce or adopt important incremental innovations, tend to maintain or even improve their market share. Apple’s first white DAP provide an illustration of incremental innovation concern. When Apple released its first DAP (also more commonly referred to as ‘MP3 player’) in 2001, such players had been present in the market for quite a while. The first mass-produced player was introduced in 1997 by SaeHan Information Systems, shortly followed, in 1998 by Diamond Multimedia (with the Rio player) and Compaq. In 2000, Architectural Innovation Architectural Innovation is the restructure of Existing Product Technologies. It is the key to binding the massive potential of these technologies that have been technologically advanced. One good example of architectural innovation is the successful launch of apple’s iPod, developed by Apple Incorporated. Apple has developed extremely in the last 5 years, primarily s iPod and iTunes. Today, iPod dominates the mp3 player marketplace keeping about 62% of the market as of Dec 2006(http://www.chinatownconnection.com/apple-ipod-mp3-player.htm). Apple’s iPod effectively united storage software, a natural user interface and a radiant packaging design to formulate a portable music player from previous components without altering any core ideas of the numerous parts that it negotiate of. This architectural innovation permitted Apple to reap an exceedingly peak percentage of market shares. This market share is purported through a number of other architectural innovations as the company builds its product to remain ahead of the competition. For

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