Behavioural Entrepreneurship and Innovation

Question: Discuss about the Behavioural Entrepreneurship and Innovation. Answer: Introducrion: This particular project involves a discussion about a several inventions of Shane Chen and their lowered rate of profit margins. Additionally, three recommendations that will help in developing business conditions have also been included in the paper. According to Oni?or and Dr?niceanu (2014), among the several inventions that have flooded the market and also has become an aspect of desire, there exists an unrecognized inventor. It is noted that over the years, there has been a number of innovations across the globe (Stim 2014). One of the most remarkable objects that have gained an increased popularity is the hover board. As per the case study, it can be seen that Shane Chen despite of being the mastermind behind the extraordinary invention has not greatly benefited from its ever sales increments. Moreover, it is often that he often refers to history for examining the reasons behind innovators not benefitting from the extraordinary developments. In case of hover boards, it is noted that the original object that was sold under the brand name of Hovertrax at a price of $1000 is confronted with a replica manufactured by the Chinese at a much lower cost. Being used to other copying his designs and inventions, Chen did not make much money out of his various innovations in the last 10 years. Additionally, apart from the hover board there exists many other prototypes that he tends to provide to the people and thereby protect its copyright. It is the use of low quality materials and batteries that enable the Chinese factories to lower the price of the hover board thereby attracting most part of the market. Moreover, despite of being dangerous the people tend to fulfil their wants with a minimal pocket pinch. On the other hand, products like AquaSkipper and Powerwing are recognized as the highest earning inventions that helped in funding of other projects. Also, innovations like Lunicycle, Solowheel and various other projects that never made it to the market reflects the inventor`s poor sense of marketing and business in the modern world as well. Reviewing the case study, there are a few recommendations that can be made which will allow Shane Chen to earn an increased amount of profits from his inventions. Firstly, earning a patent of every invention is highly suggested. Further, in terms of market development it is important that the patents are used in the best possible manner (Ullberg 2015). In addition to aspects of licensing, Chen should also take into consideration forming of legal contracts, abolishment of which would lead to sue of the rival companies. As stated by Terpstra, Foley and Sarathy (2012), it is noted that entering into agreements with departmental stores and retail outlets would not only reduce entrance of Chinese low costing goods in the market, but will also build up market for originality. Moreover, with a development of opportunities in the domestic and international regions, Chen needs to involve in export of goods under contracted and licensed operators. Secondly, in order to increase sales and thereby revenue generation, Chen should seek help of trustable invention promotion companies. In the words of Spulber (2013), a delegation of advertisement processes to a team of experts will lead to increase of profit margins. Furthermore, a proper use of promotional mediums and available resources will also greatly contribute towards raising earnings from innovations. Being an inventor, Chen needs to learn about marketing terms and conditions. It is noted that, knowledge about business developmental methods will ensure a positive and accurate exchange of information and ideas with the outer world (Cohen and Glazer 2014). On the other hand, an efficient use of the ever growing social and digital media would also significantly help in spreading the innovation all over the world and also make an effect on the peoples perception leading them to buy the goods (Ullberg 2015). Lastly, the most primary suggestion that will significantly help the inventor is the installation of an expert marketing team in his company. As opined by Spulber (2013), the presence of a skilled taskforce will not only help in developing sales volumes, promotional processes and thereby contribute towards revenue generation. Moreover, it will also reduce an extra burden of business from Chen as well, helping him to do what he is best at. According to Schwab and Werker (2014), it is noted that despite of being a costly suggestion, the integration of a highly trained and educated management team will lead the profit margins to a whole new level. In addition to contributing towards developing revenue figures, experts will also help Chen learn about the views, preferences, and perspectives of the public thereby lending a hand filling up areas of pitfalls as well. References Cohen, L. and Glazer, A., 2014.Forward Markets to Spur Innovation(No. 131405). Oni?or, L.F. and Dr?niceanu, D., 2014. Marketing and Innovation: the Inventors Point of View.International Journal of Economic Practices and Theories,4(2), pp.322-330. Schwab, D. and Werker, E., 2014. Profits and Economic Development.Harvard Business School BGIE Unit Working Paper, (14-087). Spulber, D.F., 2013. Competing inventors and the incentive to invent.Industrial and Corporate Change,22(1), pp.33-72. Spulber, D.F., 2013. How do competitive pressures affect incentives to innovate when there is a market for inventions?.Journal of Political Economy,121(6), pp.1007-1054. Stim, R., 2014.Profit from Your Idea: How to Make Smart Licensing Deals. Nolo. Terpstra, V., Foley, J. and Sarathy, R., 2012.International marketing. Naper Press. Ullberg, E., 2015.Coordination of Inventions and Innovations through patent markets with prices(No. 260). The Ratio Institute. Ullberg, E., 2015.Trade in Ideas: Performance and Behavioural Properties of Markets in Patents with Two-part Tariff(No. 261). The Ratio Institute.