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Closing the gap between frugal and reverse innovation: Lessons learned from the case of the Tata Nano
Linköping University, Department of Management and Engineering, Business Administration. Linköping University, Faculty of Arts and Sciences.
Linköping University, Department of Management and Engineering, Business Administration. Linköping University, Faculty of Arts and Sciences.
2013 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

Abstract Title: Closing the gap between frugal and reverse innovation – Lessons learned from the case of the Tata Nano Authors: Martin Aschmoneit (martin.aschmoneit@gmail.com) Dijana Janevska (dijana.janevska@gmail.com) Supervisor: Malin Tillmar Date: May 27, 2013 Background: Emerging markets are growing and have become increasingly important for the global economy, while the growth of developed markets has slowed down. Emerging economies are the home of a new type of innovation that can help multinationals (both Western and local) to achieve further growth. Reverse innovation is a new approach that entails developing frugal products in emerging markets that are later introduced in advanced economies. Aim: To develop a framework of reverse innovation, and to use this framework to find critical issues necessary for the Tata Nano to enter developed economies. Hence, we develop our own definition and a model of reverse innovation that will be used in the analysis of the Nano, with a specific focus on: the search for reverse innovation features present in the case and the problems/obstacles in the reverse innovation process. Methodology: Qualitative approach using a single-case study based on predominantly secondary data. The case study of the Tata Nano was chosen due to its compatibility with our research aims. Completion and results: The case of the Tata Nano fulfills all but one of the requirements for a reverse innovation: the last step of the process or the transition of the innovation to a developed market. Several critical issues regarding the reversal process were identified and discussed. Keywords: reverse innovation, frugal innovation, emerging markets, multinational companies, Tata Nano.

Place, publisher, year, edition, pages
2013. , 114 p.
Keyword [en]
reverse innovation, frugal innovation, emerging markets, multinational companies, Tata Nano.
National Category
Business Administration
Identifiers
URN: urn:nbn:se:liu:diva-97509ISRN: LIU-IEI-FIL-A--13/01597--SEOAI: oai:DiVA.org:liu-97509DiVA: diva2:648098
Subject / course
Master Thesis in Business Administration (Magisteruppsats i Företagsekonomi)
Supervisors
Examiners
Available from: 2013-09-13 Created: 2013-09-13 Last updated: 2013-09-16Bibliographically approved

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