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EVOLUTION OF TECHNOLOGY
Objectives:
To be highly knowledgeable about Evolution of Technology;
What is Technology?
Technology is
the
making,
usage,
and
knowledge
of tools, machines,
techniques, crafts, systems or methods of organization in order to solve a problem or perform a
specific function. It can also refer to the collection of such tools, machinery, and procedures. The
word technology comes from Greek (technologa); from (tchn), meaning
"art, skill, craft", and - (-loga), meaning "study of-"The term can either be applied generally
or to specific areas: examples include construction technology, medical technology,
and information technology.
Theory of Technological Evolution
Technology evolves in:
three stages:
tools, machine, automation.
two trends:
the replacement of physical labour with more efficient mental labour, and
the resulting greater degree of control over one's natural environment
HISTORY OF TECHNOLOGY
The history of technology is the history of
the invention of tools and techniques, and is similar in many
ways to the history of humanity. Background knowledge has
enabled people to create new things, and conversely, many
scientific
endeavors
have
become
possible
through technologies which assist humans to travel to places
we could not otherwise go, and probe the nature of the
universe in more detail than our natural senses allow.
Technological artifacts are products of an economy, a
force for economic growth, and a large part of everyday life.
Technological innovations affect, and are affected by, a
society's cultural traditions. They also are a means to
develop and project military power.
The wheel was invented in the 4th millennium BC,
and has become one of the world's most famous, and most
useful technologies.
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3. Iron Age
4. Ancient Civilizations
It was the growth of the ancient civilizations which produced the greatest advances in
technology and engineering, advances which stimulated other societies to adopt new ways of
living and governance.
The Egyptians invented and used many simple machines, such as the ramp to aid
construction processes. The Indus Valley Civilization, situated in a resource-rich area, is notable
for its early application of city planning and sanitation technologies. Ancient India was also at the
forefront of seafaring technologya panel found at Mohenjodaro, depicts a sailing craft. Indian
construction and architecture, called 'Vaastu Shastra', suggests a thorough understanding of
materials engineering, hydrology, and sanitation.
The Chinese were responsible for numerous technology discoveries and developments.
Major technological contributions from China include early seismological detectors, matches,
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metallurgy or wheel technology, they developed complex writing and astrological systems, and
created sculptural works in stone and flint. Like the Inca, the Maya also had command of fairly
advanced agricultural and construction technology. Throughout this time period much of this
construction, was made only by women, as men of the Maya civilization believed that females
were responsible for the creation of new things. The main contribution of the Aztec rule was a
system of communications between the conquered cities. In Mesoamerica, without draft animals
for transport (nor, as a result, wheeled vehicles), the roads were designed for travel on foot, just
like the Inca and Mayan civilizations.
Medieval and Modern Technologies
1. European Technology
European technology in the Middle Ages may be best described as a symbiosis
of traditio et innovatio. While medieval technology has been long depicted as a step backwards
in the evolution of Western technology, sometimes willfully so by modern authors intent on
denouncing the church as antagonistic to scientific progress (see e.g. Myth of the Flat Earth), a
generation of medievalists around the American historian of science Lynn White stressed from
the 1940s onwards the innovative character of many medieval techniques. Genuine medieval
contributions include for examplemechanical clocks, spectacles and vertical windmills. Medieval
ingenuity was also displayed in the invention of seemingly inconspicuous items like
the watermark or the functional button. In navigation, the foundation to the subsequent age of
exploration was laid by the introduction of pintle-and-gudgeonrudders, lateen sails, the dry
compass the horseshoe and the astrolabe.
Significant advances were also made in military technology with the development
of plate armour, steel crossbows, counterweight trebuchetsand cannon. Perhaps best known
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In 1936, it was in this year that the first "computer" was developed. It was created by
Konrad Zuse and dubbed the Z1 Computer
In 1942, business saw profit and opportunity in computers.
Next ten years, the introduction of the transistor, a vital part of the inner workings of
the computer, the ENIAC 1 computer.
In 1953, The age of computers was forever altered by the introduction of
International Business Machines, or IBM, into the computing industry. The first
contribution was the IBM 701 EDPM Computer.
A year later, FORTRAN was written so that more people could begin to program
computers easily.
The year 1955, creation of the first computers for use in banks. The MICR, or
Magnetic Ink Character Recognition, coupled with the actual computer, the ERMA,
was a breakthrough for the banking industry.
During 1958, the creation of the integrated circuit, also known as the chip, is one of
the base requirements for modern computer systems.
In 1962, creation of the first computer game, which was created by Steve Russel and
MIT, which was dubbed Spacewar.
In 1964, the mouse, was created by Douglass Engelbart. It obtained its name from
the "tail" leading out of the device.
In 1969. ARPA net was the original Internet, which provided the foundation for the
Internet that we know today.
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It wasn't until 1970 that Intel entered the scene with the first dynamic RAM chip, which
resulted in an explosion of computer science innovation.
In 1958, on the heels of the RAM chip, the first microprocessor was developed, which
was also designed by Intel.
A year later, the floppy disk was created, gaining its name from the flexibility of the
storage unit.
In 1973, the first networking card was created, allowing data transfer between
connected computers.
The next three years, it develops systems for the average consumer. The Scelbi,
Mark-8 Altair, IBM 5100, Apple I and II, TRS-80, and the Commodore Pet
In 1978, major breakthroughs, the release of the VisiCalc Spreadsheet program.
1979, WordStar, the first word processing program, was released to the public for
sale.
In 1981,
The IBM Home computer quickly helped revolutionize the consumer market,
The mega-giant Microsoft enter the scene with the MS-DOS operating system.
In 1983, a vital change, Apple Lisa computer the first with a graphical user interface,
or a GUI.
CONCLUSION:
Technology involves manipulation of the environment to meet human needs such as food,
shelter, communication, and health. The development of various technologies within the last
10,000 years of human history has been affected by and has affected the environment, human
societies, and science.
Rachel Badanowski,
Southfield HS, Southfield, MI
References:
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Invention
The creation of something new, or a "breakthrough" technology. For example, a personal
computer
Innovation
Rogers proposes that there are five main attributes of innovative technologies which
influence acceptance. These are relative advantage, compatibility, complexity, trialability, and
observability. Relative advantage may be economic or non-economic, and is the degree to
which an innovation is seen as superior to prior innovations fulfilling the same needs. It is
positively related to acceptance (i.e., the higher the relative advantage, the higher the adoption
level, and vice versa). Compatibility is the degree to which an innovation appears consistent
with existing values, past experiences, habits and needs to the potential adopter; a low level of
compatibility will slow acceptance. Complexity is the degree to which an innovation appears
difficult to understand and use; the more complex an innovation, the slower its
acceptance. Trialability is the perceived degree to which an innovation may be tried on a limited
basis, and is positively related to acceptance. Trialability can accelerate acceptance because
small-scale testing reduces risk. Observability is the perceived degree to which results of
innovating are visible to others and is positively related to acceptance.
Diffusion
The spread of a technology through a society or industry. The diffusion of a technology
generally follows an S-shaped curve as early versions of technology are rather unsuccessful,
followed by a period of successful innovation with high levels of adoption, and finally a dropping
off in adoption as a technology reaches its maximum potential in a market.
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Imagining: Developing the initial insight about the market opportunity for a particular
technical development.
Demonstrating: Building prototypes and getting feedback from potential investors and
customers.
Sustaining: Ensuring that the product or process has as long a life as possible in the
market.
The first three stages obviously cannot be managed like an ordinary business with tight controls.
So they have to be fostered and nurtured in an environment which is culturally quite different
from normal corporate settings.
Conclusion
When it comes to successful innovation, technology by itself is not the crucial factor.
Technology must be considered together with market conditions and human factors. Companies
have to be on the look-out for emerging market segments. They must also understand why
there is resistance to the acceptance of new ideas. For established companies, existing product
lines are important because they provide the cash flows so vital for financing the development of
future products. At the same time, they cannot resist new initiatives. Indeed, the challenge for
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Responsive
standards
Anticipatory
standards
Participatory
standards
Product or Service
Anticipatory standards are those standards that must be created before widespread
acceptance of devices or services. Examples of anticipatory standards are: V.32 modem, X.25
packet interface, ISDN, TCP/IP, the H.323 Recommendation of Internet telephony or the Secure
Electronic Transactions (SET) protocol for bank card payments. The studies that precede the
adoption of an anticipatory standard should, ideally, involve all interested parties. In this way, the
standardization activities provide a more formal way for sharing innovations among firms. The
danger of anticipatory standards is that the specifications could be premature and encumbered
by unnecessary or irrelevant details. The resultant standards could be ignored, such as OSI
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(flexibility)
(compatiblity)
(similarity)
(reference)
NETWORK EXTERNALITIES
INTRODUCTION
To explain what network externalities is, in an understandable manner, I will use an example.
Imagine if you were the only person having an email address and using emails as a form of
communication, this network would not worth anything as the product as no one else uses this
product. The more users there are using the product, the more valuable the medium becomes.
If you are not able to write email to anyone else then what use/value does the email have to
you. In concrete terms, network externalities exist when the value of a product to any user is
greater the larger is the number of other users of the same product.
Writing in 1950, Harvey Leibenstein analyzed the bandwagon effect, by which he meant the
extent to which the demand for a commodity is increased due to the fact that others are also
consuming the same commodity. It represents the desire of people to purchase a commodity in
order to get into the swim of things; in order to conform with the people they wish to be
associated with; in order to be fashionable or stylish; or, in order to appear to be one of the
boys.
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ATM machines (indirect): the larger the network the greater is the number of machines at
which an ATM card can be used, hence greater is the value of the network to any user
Diesel powered cars (indirect): having more widely available fuel and service facilities
the larger the number of other drivers of such cars
In each case the value of the good derives entirely from its ability to link many people
possessing the same good. As a result, the marginal benefit of the good to any one
individual depends on the number of other individuals who use it.
http://www.worthpublishers.com/krugmanwellsnew/pdf/chapter22.pdf
Introduction
It is quite common for innovators those firms which are first to commercialize a new
product or process in the market to lament the fact that competitors/imitators have
profited more from the innovation than the firm first to commercialize it.
Who benefits from an innovation?
Patents
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Once DDP emerges, competition shifts to price and AWAY from design.
Future innovation focuses on process innovation and/or details of DPP.
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If imitation is easy, followers can enter market, modify innovators design yet
rely on fundamental designs of innovator to establish themselves as dominant
design!
It is commonly recognized that there are two stages in the evolutionary development of a
given branch of a science:
1. the pre-paradigmatic stage when there is no single generally accepted conceptual
treatment of the phenomenon in a field of study, and
2. the paradigmatic stage which begins when a body of theory appears to have
passed the canons of scientific acceptability.
3. Complementary Assets
Complementary Assets are non-technology assets that are needed to make a product
successful.
Generic: general purpose assets not tailored to the innovation. e.g. plant &
equipment for athletic shoes.
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Specialized: assets with one-way dependence between innovation and the asset
e.g. specialized repair facilities for rotary engine of automobiles
Co-specialized: assets with two-way dependence between innovation and the
asset. e.g. filling stations for hydrogen fuel cell vehicles.
If pre: innovator must be very careful to let the basic design float until it is clear
which design will become industry standard.
Innovators must be linked to market ASAP so that user needs can influence design.
Paradigmatic stage: As leading design emerges, volumes increase economics of
scale opportunities.
Firms ramp up for mass production by acquiring specialized tooling & distribution.
Prices become less important -access to complementary assets CRITICAL.
Since core technology is easy to imitate, COMMERCIAL SUCCESS DEPENDS ON
TERMS OF ACCESS TO CAs.
Monopoly holders of CAs could capture ALL profits from innovation.
The table makes it apparent that even when firms pursue the optimal strategy, other
industry participants may take the jackpot. This possibility is unlikely when the
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Summary Points
In a weak appropriability regimes especially where required manufacturing assets are
specialized to the innovation, participation in manufacturing is NECESSARY if innovator
wants to appropriate rents from innovation.
If an innovators manufacturing costs are HIGHER than those of its imitators, innovator
may lose most of the profits to the imitators.
As the technology gap closes (dominant design emerges), basis of competition shifts to
co-specialized assets.
Take note that
Innovation produces information (i.e., reduces uncertainties about outcomes)
You cant sell information on the open market without legal protection because
information can be copied at no cost
You can increase appropriability through legal protections but it is not perfect in
information because some always leaks out
References:
Introduction
Technology is the making, usage, and knowledge of tools, machines, techniques, crafts,
systems or methods of organization in order to solve a problem or perform a specific function. It
can also refer to the collection of such tools, machinery, and procedures.
A business model describes the rationale of how an organization creates, delivers, and
captures value (economic, social, or other forms of value). The process of business model
construction is part of business strategy.
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The main business goals of the organization, e.g. strategic business objectives, critical
success factors and key performance indicators, which a holistic business model approach
should include.
The main business Issues/pain points and thereby organizational weakness, which a
holistic business model approach should include for they represent the threat to the
companys business model.
A clear cause and effect linkages between the competencies, desired outcomes and
performance measurements e.g. scorecards.
The business maturity level, in order to develop the organization representation of core
differentiated and core competitive competencies [linked to strategy], which is a basis for
building a business model as they the represent some of the most important sources of
uniqueness. These are the things that a company can do uniquely well, and that no-one
else can copy quickly enough to affect competition.
The information flow, and thereby information need for effective and efficient decision
making.
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Thanks to technology, there are more business models to choose from than ever before. Today
you can start a business part-time or full-time, at home, online or in a brick-and-mortar
commercial location!
The key is to choose a business model that fits your Life Plan.
As we always say, plan your life, then plan your business...
Some of the most successful and happy people we know are entrepreneurs who created a
business thats in perfect synchronicity with what they want out of life. If you do what you love,
youll work harder, better and more happily.
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Quality rating of your life on a scale of 1 through 100, with 100 being the best possible
life
Realities of your life, including responsibilities, funds available to start a business,
expenses
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Outsourcing - a great strategy to keep things simple at home. You can contract with
other companies to do your public relations, warehousing, shipping, website
management, even manufacturing.
Downside
Shipping activities and customer traffic at residential properties are restricted by local
zoning ordinances (check with your local government for details).
Working at home can come with lots of distractions and can infringe on your other
domestic commitments.
If foot traffic is necessary in your business, your home may not make the desired
impression on customers.
Brick-and-Mortar
This is a business with a classic physical location outside of the home. It involves a dedicated
facility - whether retail, wholesale, service or manufacturing.
Upside
Gives you an opportunity to work face-to-face with people and become more involved
in your community.
A physical location may attract walk-in traffic to supplement traffic you gain through
marketing efforts, depending on your type of business.
Gives you a dedicated space to go to work each day and become mentally and
physically immersed in running your business.
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If your concept is retail-oriented, you must acquire inventory to merchandize your store.
e-Commerce
In this model, you dont have foot traffic in your business, only traffic to your website. You sell
your product through your website to consumers or to other businesses.
Upside
As with a home-based business, this is a lower risk, lower cost business to start. You
dont necessarily need lots of personnel, inventory and facilities.
You can choose to do it full-time or part-time.
Easily scaleable you can make your e-commerce business as big or small as youd
like to suit existing commitments, such as parenthood and a day job.
You can tap into a national, or even global, customer base through the internet.
Downside
eBay-preneurship
A sub-category of e-commerce, but one big enough to consider on its own, eBay can serve as a
location for your online store, and allow you to tap into its huge marketplace.
Upside
Lower cost, lower risk than starting an independent e-commerce site as there are a
great many tools to help eBay sellers get their businesses off the ground (e.g. PayPal to
accept payment, a ready-made marketplace, online store templates, market research
tools).
Avoid having to build website traffic from scratch - eBay has a huge following
worldwide, so you tap into a vast existing customer base.
Downside
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Even with the guaranteed traffic that eBay offers, you will still face stiff competition from
existing sellers who have already staked their claim and built up a strong feedback rating
& customer base.
Franchising
When you choose a franchise business model, you use someone elses proven business
concept as your entrepreneurial roadmap. Typically you pay an upfront fee, as well as a portion
of revenues over time, to the franchisor.
Franchising is the practice of using another firm's successful business model. For the franchisor,
the franchise is an alternative to building 'chain stores' to distribute goods and avoid investment
and liability over a chain. The franchisor's success is the success of the franchisees. The
franchisee is said to have a greater incentive than a direct employee because he or she has a
direct stake in the business.
Upside
Lower risk than opening an independent brick-and-mortar business, because
franchising provides you with a streamlined process to start your business, as well as
support for marketing, business plan samples and estimates, assistance with real estate
issues, and staff training.
Provides you with a recognized, established brand to attract customers more quickly.
To illustrate the lower risk inherent in a franchise, success rates for franchises are
higher than non-franchise businesses.
Downside
Your financial upside is somewhat limited because you must pay your franchisor a cut of
your profits.
Freedom to move on to the next big business idea - if you do successfully license your
product idea, you could receive royalties long after youve stopped working on the
product!
Downside
Finding the right licensee takes tenacity and determination, and can take a long time
dont quit your day job!
Unless your product gets sold in a significant enough volume by the company to which
you license it, the amount of royalties you receive can be low or non-existent.
Its extremely difficult to get through the door of big companies to start a negotiation.
Thats partly why less than 3% of all patented ideas actually make it to market through
licensing agreements.
Multi-level Marketing
Multi-level marketing (MLM) is a marketing and distribution structure. People at the top sell to
those below them, who in turn sell to those below them. The higher up you are in this structure,
the more money you can make. The challenge with MLM businesses is that people at the top
are frequently the winners. The vast majority of people at the bottom end up spending money
and time to get involved and end up losing whatever they put in.
If you're determined to choose a business with an MLM model, be sure to check with at least a
handful of other people who've entered at your level (who you identify on your own, separate
from people the MLM promoter refers you to), and see what they have to say. Find out their
perspectives on how - and if its possible - to be successful.
Upside
Downside
Most people lose money in MLM activities, because they cant sell the product as
effectively as they thought they could.
Credibility can become an issue, especially if you start treating friends like theyre
customers.
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Business model by which a company integrates both offline (bricks) and online (clicks)
presences. One example of the bricks-and-clicks model is when a chain of stores allows
the user to order products online, but lets them pick up their order at a local store.
Collective business models
Business organization or association typically composed of relatively large numbers of
businesses, tradespersons or professionals in the same or related fields of endeavor,
which pools resources, shares information or provides other benefits for their members.
Direct selling is marketing and selling products to consumers directly, away from a fixed
retail location. Sales are typically made through party plan, one to one demonstrations,
and other personal contact arrangements. A text book definition is: "The direct personal
presentation, demonstration, and sale of products and services to consumers, usually in
their homes or at their jobs.
Distribution business models, various
Fee in, free out
Business model which works by charging the first client a fee for a service, while offering
that service free of charge to subsequent clients.
Chemical Leasing
REFERENCES
http://www.startupnation.com/start-a-business/business-model/1/
http://www.quickmba.com/entre/business-model/
http://en.wikipedia.org/wiki/Business_model
http://en.wikipedia.org/wiki/Technology
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Intellectual property refers to creations of the mind: inventions; literary and artistic works;
and symbols, names and images used in commerce.
Intellectual property describes ideas, inventions, technologies, artworks, music and
literature, that are intangible when first created, but become valuable in tangible form as
a product.
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Intellectual property rights are like any other property right. They allow creators, or
owners, of patents, trademarks or copyrighted works to benefit from their own work or
investment in a creation.
A right that is had by a person or by a company to have exclusive rights to use its
own plans, ideas, or other intangible assets without the worry of competition, at least for
a specific period of time. These rights can include copyrights, patents, trademarks,
and trade secrets. These rights may be enforced by a court via a lawsuit. The reasoning
for intellectual property is to encourage innovation without the fear that a competitor will
steal the idea and / or take the credit for it.
First, the progress and well-being of humanity rest on its capacity to create and invent
new works in the areas of technology and culture.
Second, the legal protection of new creations encourages the commitment of additional
resources for further innovation.
Third, the promotion and protection of intellectual property spurs economic growth,
creates new jobs and industries, and enhances the quality and enjoyment of life.
An efficient and equitable intellectual property system can help all countries to realize
intellectual propertys potential as a catalyst for economic development and social and cultural
well-being. The intellectual property system helps strike a balance between the interests of
innovators and the public interest, providing an environment in which creativity and invention
can flourish, for the benefit of all.
How does the average person benefit?
Intellectual property rights reward creativity and human endeavor, which fuel the
progress of humankind. Some examples :
The multibillion film, recording, publishing and software industries which bring
pleasure to millions of people worldwide would not exist without copyright protection.
Without the rewards provided by the patent system, researchers and inventors would
have little incentive to continue producing better and more efficient products for
consumers.
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Discovery
Scientific theory
Mathematical methods
Scheme, rule and method of performing mental act
playing games
doing business
program for computer
Method for treatment human or animal body by surgery or therapy & diagnostic
method
Plant variety or animal breed or essentially biological processes for the production of
plants and animals
Aesthetic creation
Contrary to public order or morality
2. MISLEADING
Marks that are likely to deceive or have the tendency to misinform the consumers about the
actual characteristics of the goods or services like BOLPENS for pencils, COLA for alcoholic
beverages, BULAKAN for sweets not originating from or produced in Bulacan.
3. GENERIC and customary to trade
Generic marks are names of products they seek to identify. For instance, KAP KEYK for
cupcakes, CAFFE for coffee and MAKINAH for machines.
Marks and indications that have become common in everyday language or usage can not be
registered. They no longer distinguish the goods and services because they are used so often
to refer to the goods and services. Example of this is VCO for virgin coconut oil, DIAMOND
PEEL for services involving cosmetic procedure.
4. Contrary to Public Order or Morality
Marks that are against the common standard of morality. An example is PRO-TERRORISM for
clothing.
5. CONSISTS OF NAMES, PORTRAITS OF PERSONS, MAPS, FLAGS AND OTHER
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2. MORAL RIGHTS
Moral rights include:
a. Right of Attribution
b. Right of Alteration
c. Right of Integrity (object to any prejudicial distortion)
d. Right to restrain use of his name.
3. RESALE RIGHTS
In every sale or lease of an original work of painting or sculpture or of the
original manuscript of a writer or composer, subsequent to the first disposition thereof by the
author, the author or his heirs shall have an inalienable right to participate in the gross proceeds
of the sale or lease to the extent of five percent (5%). This right shall exist during the lifetime of
the author and for fifty (50) years after his death.
B. RELATED RIGHTS
Authors create works to disseminate them to as large an audience as possible.
Obviously, they cannot do the dissemination by themselves. They need the help of persons or
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Generally, the natural person who created the literary and artistic work owns the
copyright to the same.
For work created during or in the course of employment (works for hire):
Employee - if the work is not part of his regular duties, even if he used the time, facilities
and materials of the employer;
Employer - if the work is the result of the performance of his regularly assigned duties,
unless there is an express or implied agreement to the contrary.
For commissioned works: the person who commissioned the work owns the work but the
copyright thereto remains with the creator, unless there is a written agreement to the
contrary.
For audiovisual works: the producer, the author of the scenario, the composer of the
music, the film director, and the author of the work so adapted.
The use made of a work by or under the direction or control of the Government,
by the National Library or by educational, scientific or professional institutions where
such use is in the public interest and is compatible with fair use;
Public display of the original or a copy of the work not made by means of a film,
slide, television image or otherwise on screen or by means of any other device or
process: Provided, That either the work has been published, or, that original or the
copy displayed has been sold, given away or otherwise transferred to another person
by the author or his successor in title; and
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Any use made of a work for the purpose of any judicial proceedings or for the
giving of professional advice by a legal practitioner.
These limitations, however, should be interpreted in such a way as to allow the work to
be used in a manner which does not conflict with the normal exploitation of the work and
does not unreasonably prejudice the right holders legitimate interest.
The fair use of a copyrighted work for criticism, comment, news reporting, teaching
including multiple copies for classroom use, scholarship, research, and similar purposes
are not an infringement of copyright. Decompilation, which is understood here to be the
reproduction of the code and translation of the forms of the computer program to achieve
the inter-operability of an independently created computer program with other programs
may also constitute fair use.
In determining whether the use made of a work in any particular case is fair use, the
factors to be considered shall include:
o
The purpose and character of the use, including whether such use is of a
commercial nature or is for non-profit education purposes;
The nature of the copyrighted work;
o
o
The amount and substantiality of the portion used in relation to the copyrighted
work as a whole; and
The effect of the use upon the potential market for or value of the copyrighted
work.
Aside from the provisions on the limitations on copyright and on fair use, the law allows
the following reproductions:
the private reproduction of a published work in a single copy, where the reproduction is
made by a natural person exclusively for research and private study, shall be permitted,
without the authorization of the owner of copyright in the work.
any library or archive whose activities are not for profit may, without the authorization of
the author of copyright owner, make a single copy of the work by reprographic
reproduction:
1. (a) Where the work by reason of its fragile character or rarity cannot be lent to
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permitted, without the authorization of the author of, or other owner of copyright in, a
computer program, by the lawful owner of that computer program: Provided, That the copy
or adaptation is necessary for:
1. (a) The use of the computer program in conjunction with a computer for the
purpose, and to the extent, for which the computer program has been obtained; and
2. (b) Archival purposes, and, for the replacement of the lawfully owned copy of the
computer program in the event that the lawfully obtained copy of the computer
program is lost, destroyed or rendered unusable.
WHAT CONSTITUTES INFRINGEMENT?
Selling or letting for hire, or by way of trade offering or exposing for sale
or hire, the article;
Distributing the article for the purpose of trade, or for any other purpose to
an extent that will prejudice the rights of the copyright owner in the work; or
REFERENCES:
en.wikipedia.org/wiki/Intellectual_property
iprs.cbp.gov/
www.chanrobles.com/legal7.htm
www.w3.org/IPR/
http://www.engsc.ac.uk/resources/intellectual-property-rights
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Research
The initial stage involves assessing the current and future needs of customers and
suppliers - asking for their views and feedback and carrying out market research.
Development
The process of testing these ideas, demonstrates whether they are achievable and
helps turn your ideas into reality.
It involves defining the specification and design of your product or service through
drawings, models or prototypes.
Research and Development
It is one of the means by which business can experience future growth by developing
new products or processes to improve and expand their operations.
According to the Organization for Economic Co-operation and Development, it
refers to "creative work undertaken on a systematic basis in order to increase the
stock of knowledge, including knowledge of man, culture and society, and the use of
this stock of knowledge to devise new application.
Value Chain
consists of the major business functions that add value to a companys products and
services
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boost sales
increase your profitability
open new markets
enhance your brand and gain a reputation as an innovative business
attract the best employees through your enhanced reputation
find new business partnerships
attract external finance
Types of Development
Market Pull
o Market needs create new product opportunities which in turn stimulate R&D to
determine if a solution is possible
o Market Need Marketing R&D Production
o Problem: Find new technology to fit need!
Technology Push
o New discovery triggering a sequence of events
o R&D Production Marketing Market Need
o Some innovations may have no market potential.
o Problem: Find or create a market!
Platform Products
o The firm assumes that the new product will be built around the same
technological subsystem as an existing product.
o Examples: consumer electronics, computer, printers
Process Intensive
o Both process and product must be developed together from the very beginning or
an existing production process must be specified from the beginning.
o Example: semiconductors, chemicals
Customization
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Make sure staff involved in R&D understands the business' overall strategy.
Ensure these employees understand what is commercially realistic.
Assess the changing risks and potential of projects as they progress, continually
developing a rigorous business case.
Ensure that intellectual property ownership issues are resolved.
Understand the relative importance of different projects to your business.
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Introduction Stage
Sales
Cost
Profit
Market Objectives
Product
Price
Distribution
Advertising
Growth Stage
Sales
Cost
Profit
Market Objectives
Product
Price
Distribution
Advertising
Maturity Stage
Sales
Cost
Profit
Market Objectives
Low Sales
High cost per customer
Negative
Create product awareness and trial
Offer basic product
Use cost plus
Build selective distribution
Build product awareness among early
adopters and dealers
Peak Sales
Low cost per customer
High profile
Maximize profit while defending market
share
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Decline Stage
Sales
Cost
Profit
Market Objectives
Product
Price
Distribution
Advertising
Declining Sales
Low cost per customer
Declining profile
Reduce expenditure
Phase out weak items
Cut price
Go selective: phase
out unprofitable
outside
Reduce to level needed to retain hardcore
loyal customer
In R&D, many steps are being performed for the first time. Nothing is stable, and
changes and variations are not only permitted but necessary.
In R&D, the product consists of a few prototypes and a considerable amount of
information and documentation. Labor cost is much higher.
Personnel working in R&D are highly qualified and hold academic degrees
References:
http://www.netmba.com/marketing/product/lifecycle/
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http://www.businesslink.gov.uk/bdotg/action/detail?
itemId=1073792338&r.i=1073792204&r.l1=1073858796&r.l2=1073859020&r.l3=1074003
278&r.s=m&r.t=RESOURCES&type=RESOURCES
http://www.wisegeek.com/what-is-research-and-development.htm
Perception;
Incubation;
Inspiration; and
Innovation.
Moving from creative perception to reality is not automatic. Instead, ideas go through an
incubation process. During incubation, employees collect, store, retrieve, study, and reshape
data until they create something new. This process can take years. Inspiration occurs when
all of your prior efforts successfully come together. Innovation means turning inspiration into
a useful product, service, or methodology.
There are three (3) sets of organizational variables stimulate innovation: structure, culture,
and human resource practices.
Structural variables affect innovation in three ways:
(1) organic structures promote innovation,
(2) plentiful resources stimulate innovation, and
(3) effective communication overcomes barriers to innovation.
Innovative organizations encourage experimentation and risk-taking behavior by rewarding
both successes and failures.
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Acceptance of ambiguity
Tolerance of the impractical
Low external controls
Tolerance of risk
Tolerance of conflict
Focus on ends rather than on means
Open systems focus
Individual Creativity
Group/Team Creativity
Organizational Creativity
Innovative organizations train and develop their members to keep their knowledge, skills,
and abilities current; offer job security rather than the fear of being fired to promote risktaking; and encourage individuals to become champions of change. Once a new idea is
developed, champions of change promote the idea and build support. Then, they overcome
resistance to the idea and ensure that the innovation is completed. These persons are self
confident, energetic, persistent, risk-takers. In addition, they have the decision-making
discretion to induce and implement innovations.
I.
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Networks
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For any action to be done together, a joint way of working must be devised and implemented.
One of the most common sources of difficulties in maximizing the value of alliances occurs
when the two parties cant come to agreement on how they will operate. Problems come about
when budgeting is done at different times of the year, authority for different types of decisions
rests at different levels in the organization, or Standard Operating Procedures (SOPs) for such
things as quality assurance are different. Alliance Managers work with their counterparts from
the partner company(ies) to develop and implement how this joint work is to be accomplished,
satisfying the requirements of each, but without wasting resources by duplicating work.
For work to be done individually, decisions must be made as to which partner takes the lead on
certain work. Usually the partner with the greater capability and capacity leads the work.
Decisions must then be made as to how that partner will inform the other(s) and the extent of
their individual authority. This requires a reasonable level of trust between the parties, as well as
a careful delineation of responsibilities. Without it, duplicate work or second guessing occurs
and the primary purpose of the alliance to leverage each others resources is undermined.
With knowledge of how the work of the alliance is to be shared, the governance system is
designed and implemented. The governance system is how the alliance manages its joint work.
Governance has both structural and behavioral components to it. Some of the structural
components, such as the governance committees, may be part of the alliance agreement. As
the alliance moves through its lifecycle, the design of the governance may have to change to
reflect needs at a particular point in the lifecycle. For example, if significant changes are made
in how work is shared in an on-going alliance (i.e., responsibility for billing and collection or
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Internet
% of High-Tech
Employment
2000
% Change in
Employment
2000-2010
0.5
1.8
2.1
6.2%
-11.5%
0.0%
0.3
0.8
2.2
-8.4%
-2.2%
3.5%
3.3
10.0%
0.7
1.3
-3.3%
8.6%
0.7
19.0%
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Market
Uncertainty
Marketing of
HighTechnology
Products &
Innovations
Technological
Uncertainty
Competitive
Volatility
Network Externalities
When the value of the product increases as more people adopt it
Also called demand-side increasing returns or bandwagon effects
Ex: portals on the Internet
Metcalfs Law: Value of the network = n2 (where n=# of users)
Implications of Network Externalities
Reliance on strategies to quickly grow the size of the installed base (or customers using
the particular product/technology)
May give away products for low price or even free
Work to develop industry standards
Development of Industry Standards
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Contingency Theory
Examples of Implications of
Contingency Theory
R&D/Marketing
Interaction
Role of Advertising
Primary demand;
customer education
May be premium
More competitive
Pricing
}
High-Tech Firm
Customers
Opportunities in
High-Tech
Executive Summary
Market Analysis
Company Analysis
Value Proposition
Marketing Strategy
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TECHNOLOGY FORECASTING
Technology forecasting attempts to predict the future characteristics of useful technological
machines, procedures or techniques.
Important aspects
Primarily, a technological forecast deals with the characteristics of technology, such as levels of
technical performance, like speed of a military aircraft, the power in watts of a particular future
engine, the accuracy or precision of a measuring instrument, the number of transistors in a chip
in the year 2015, etc. The forecast does not have to state how these characteristics will be
achieved.
Secondly, technological forecasting usually deals with only useful machines, procedures or
techniques. This is to exclude from the domain of technological forecasting those commodities,
services or techniques intended for luxury or amusement.
Rational and explicit methods
The whole purpose of the recitation of alternatives, is to show that there really is no alternative
to forecasting. If a decision maker has several alternatives open to him, he will choose among
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Analogy Method
This method utilizes analogies between the phenomenon to be forecast and some historical
event, or popular physical or biological process. To the extent that the analogy is valid (all
analogies become invalid at a certain level), the initial event or process can be used to wake a
prediction about future developments of a technology. (See Figure 5.) The technological
forecaster uses the analogy method consciously and deliberately, examining the model situation
and the situation to be forecast in considerable detail to determine the extent to which the
analogy is valid. An example of this approach is delineated in the book The Railroads and the
Space Program: An Exploration in Historical Analogy edited by Bruce Mazlish. The forecasters
used 19th century railroad development as an analogous system to the U.S. space program. The
utilization of growth curves is used to predict the advance of some technologies (analogous to
biological or physical processes the "'S" curve, see Figure 4).
Figure 4: Growth Curves [4]
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Extrapolation Method
Trend extrapolation is one particular method of solving the prediction of the inflection problem
associated with the "S" curve of the analogy method (when is the curve going to change slope,
B). Instead of focusing on a single device and attempting to predict the future course of
development of that device, the trend extrapolation method considers a series of successive
devices while performing similar functions. These may be considered individual representations
of a broad area of technology. (See Figure 6.) The extrapolated trend will eventually reach a
physical limit and will lose its validity as the trend approaches this limit.
Figure 6: Extrapolation Method [4]
Structural Modeling
Structural modeling is an attempt to develop a mathematical or analytical model of a
technology-generation process. As with mathematical models of any process, the purpose for
model construction is to identify certain key elements, identify the functional aspects of those
elements and express these functional aspects symbolically or mathematically. Structural
models tend to be abstract and reductionist in their approach in removing what are denied to be
non-essential functions. (See Figure 8.)
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Using Scenarios
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an outline of the plot of a dramatic work, giving particulars as to the scenes, characters,
situations, etc.
Contingency Planning
It examines only one uncertainty, such as What if we dont get the
patent?
Sensitivity Analysis
The overall purpose is to build a shared framework for strategic thinking that encourages
diversity and sharper perceptions about external changes and opportunities.
Using Scenario
Organizations facing the following conditions will especially benefit from the following scenarios:
There are strong differences of opinion, with multiple opinion having merit.
Constructing Scenarios
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