User vs Manufacturer Innovation
The nature of innovations developed by users and manufacturers differ considerably. Strengths and weaknesses are considered and practical implementation steps are provided along with case study evidence of organisations that have benefited from user-led innovation.
User vs Manufacturer Innovation Definition
A "user innovation" is when a developer expects to benefit by using it, whereas a "manufacturer innovation" is when a developer expects to profit by selling it (von Hippel, 2005; Di Gangi & Wasko, 2009). In a traditional manufacturer-centred innovation paradigm, manufacturers identify user needs, develop products at private expense, and profit by protecting and commercialising. In a user-centred innovation paradigm, lead users innovate to solve their own needs at private expense, and may freely release their innovations (Henkel & von Hippel, 2005).
User vs Manufacturer Innovation Description *
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User vs Manufacturer Innovation Strengths *
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Examples of User vs Manufacturer Innovation *
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User vs Manufacturer Innovation Implementation *
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User vs Manufacturer Innovation References (4 of up to 20) *
- Baker, N. R., Green, S. G., and Bean, A. S. (1986) Why R&D project succeed or fail. Research Management, Vol. 29(6), pp. 29-34.
- Biemans, W. G. (1991) User and third-party involvement in developing medical equipment innovations. Technovation, Vol. 11(3), pp. 163-182.
- Di Gangi, P. M., and Wasko, M. (2009) Steal my idea! Organizational adoption of user innovations from a user innovation community: A case study of Dell IdeaStorm. Decision Support Systems, Vol. 48(1), pp. 303-312.
- Di Gangi, P. M., Wasko, M. M., and Hooker, R. E. (2010) Getting customer’s ideas to work for you: learning from Dell how to succeed with online user innovation communities. MIS Quarterly Executive, Vol. 9(4), pp. 213-228.
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