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    A Comparison of German and Indian innovation pathways in the auto component industry
    (Hamburg University of Technology (TUHH), Institute for Technology and Innovation Management, 2017-10) ; ;
    This paper is a part of a series of analyses conducted within a BMBF-funded research project to investigate potentials of frugal innovations for Germany. One of the objectives of this project has been to identify innovation pathways that foster frugal innovations. Since auto component suppliers based in India are known to contribute significantly to the development of “affordable and good quality” vehicles, it was considered useful to conduct comparative studies of the prevalent innovation pathways in Germany with those in India. This paper is based on our investigations of innovation pathways in Indian and German auto component industries and aims to provide a coherent comparative analysis. After discussing similarities and differences in Indian and German innovation pathways, a reference model for frugal innovation pathways is outlined. The results provide insights on how certain elements of frugal innovation pathways could be implemented in Germany in order to create solutions that are affordable, fulfil the requisite quality standards and avoid unnecessary usage (wastage) of resources. Altogether, exploratory connections are identified which provide impetus for further research and can be thought-provoking for relevant business, social and political stakeholders.
    Publicationtype: Working Paper
      1501  868
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    Potenziale frugaler Innovationen : Handlungsimplikationen für das deutsche Forschungs- und Innovationssystem
    In Deutschland ist ein Trend hin zu mehr Frugalität und folglich zu frugalen Innovationen erkennbar. Dieser Trend wird maßgeblich getrieben von der zunehmenden Bedeutung von Wachstumsmärkten in Schwellenländern, der Einkommensentwicklung in der hiesigen Gesellschaft sowie dem sich wandelnden Werteverständnis – besonders dem hohen Umweltbewusstsein und der Wahl moderater Lebensstile durch viele (insbesondere junge) Leute. Auch die demographische Entwicklung („alternde Gesellschaft“) scheint die Nachfrage nach benutzerfreundlichen, weniger komplexen und zugleich erschwinglichen Lösungen zu steigern. Die vorliegende Studie setzt sich mit den politischen Handlungsimplikationen dieses Phänomens für das deutsche Forschungs- und Innovationssystem auseinander. Die Studienergebnisse zeigen, dass es empfehlenswert ist, die High-Tech Strategie Deutschlands um eine frugale Komponente zu ergänzen. Auch von der Förderung weiterer transdisziplinärer Forschungs- und Bildungsaktivitäten werden positive Effekte erwartet. Frugale Innovationen besitzen hohe Relevanz für den längerfristigen Erfolg der deutschen Wirtschaft. Sie können auch einen Beitrag dazu leisten, eine gerechtere soziale Teilhabe und bessere ökologische Nachhaltigkeit zu erreichen. Zurzeit sind allerdings noch keine „Best Practices“ zur Generierung frugaler Innovationen verbreitet. Die kontextspezifische und zugleich transdisziplinäre Erforschung dieser wird daher ausdrücklich empfohlen.
    Publicationtype: Working Paper
      1022  671
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    Frugal innovation in Germany : a qualitative analysis of potential socio-economic impacts
    Frugal innovation is gaining traction globally, not only in emerging economies, but also in the industrialized world. The root causes of frugality’s acceptance as a societal value may however differ according to the social context, especially between the developing and the developed world. In this paper we present the results of a trend analysis in Germany that has been conducted as a part of a BMBF-supported project aiming to investigate “Potentials, Challenges and Societal Relevance of Frugal Innovations in the Context of Global Innovation Competition”. The research was conducted in two steps. In a first step preliminary insights were generated by an extensive literature review and 3 focus groups with 30 experts discussing the relevance of frugal innovation for Germany. These insights were then verified in 20 semi-structured interviews with additional experts from cross-sections of the German society. The experts opined that frugal products and services (should) focus on the customers’ core needs and reduce unnecessary complexity while adhering to high quality standards. They predicted a trend towards frugal solutions in Germany due to a complex interplay of various factors. One notable factor was a growing appreciation of moderation and voluntary simplicity by parts of the German society leading to “frugal choices”. The second widespread consensus was that frugal innovations are necessary to secure long-term competitiveness of German companies in fast-growing, unsaturated markets in the emerging economies. Several challenges were pointed out concerning the actual implementation of frugal concepts in the product development process. An overwhelming reliance on high tech-driven and complexity-embracing innovation pathways by engineers in German firms was characterized as a powerful obstacle in implementing frugality.
    Publicationtype: Working Paper
      1555  686
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    Frugal innovation : an assessment of scholarly discourse, trends and potential societal implications
    (Springer, 2016-11-29) ; ;
    The topic of frugal innovation is increasingly gaining relevance in social as well as scholarly discourse. Frugal innovations have been perceived by many to be a phenomenon generally confined to emerging economies where there are large groups of unserved consumers with unmet needs. But there is increasing evidence that this phenomenon is getting relevant also in the industrialized nations potentially affecting the long-term competitiveness of domestic firms not only overseas but also at home. This paper has a twofold objective: (a) It seeks to establish the theoretical antecedents of frugal innovation by examining the scholarly discourse; and (b) It attempts to generate hypotheses about its long-term relevance by examining historical trends of frugality and their disappearance. Based upon an extensive literature review and some preliminary primary data we propose a new working definition for frugal innovation and hypothesize that frugality was a key social value with positive associations before the era of unprecedented prosperity in the industrialized world, which led to saturated markets and inter alia to feature-driven competition and over-consumption of resources. New ground realities, e.g., economic downturn in the industrialized world and the rapidly rising consumption in the economically developing world, are expected to turn frugality, once again, into an important societal value and frugal innovation into a critical success factor in mid-term future.
    Publicationtype: Book Part
      47
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    Frugal Innovation in Scholarly and Social Discourse: An Assessment of Trends and Potential Societal Implications
    The topic of frugal innovation is increasingly gaining relevance in social as well as scholarly discourse. Frugal innovations have been perceived by many to be a phenomenon generally confined to emerging economies where there are large groups of unserved consumers with unmet needs. But there is increasing evidence that this phenomenon is getting relevant also in the industrialized nations potentially affecting the long-term competitiveness of domestic firms not only overseas but also at home. This paper has a three-fold objective: (a) It seeks to establish the theoretical antecedents of frugal innovation by examining the scholarly discourse; (b) It attempts to generate hypotheses about its long-term relevance by examining historical trends of frugality and their disappearance; (c) It seeks to comprehend the social perception of frugal innovation in the specific German context by assessing the relevant social discourse. Based upon an extensive literature review and some preliminary primary data we propose a new working definition for frugal innovation and hypothesize that frugality was a key social value with positive associations before the era of unprecedented prosperity in the industrialized world, which led to saturated markets and inter alia to feature-driven competition and over-consumption of resources. New ground realities, e.g., economic downturn in the industrialized world and the rapidly rising consumption in the economically developing world, are expected to turn frugality, once again, into an important societal value and frugal innovation into a critical success factor in mid-term future.
    Publicationtype: Working Paper
      1957  1996