Butterfly Technologies produces touch-enabled wearable devices. Its research and development team recently became aware of a new, open-source technology produced by a firm overseas that would improve the processing speed and battery life of all Butterfly devices. In this scenario, Butterfly would be best served to embrace
A) open innovation.
B) closed innovation.
C) disruptive innovation.
D) radical innovation.

Question

Quizplus · Accepted Answer

Companies using an open innovation approach realize that great ideas can come from both inside and outside the company. Significant value can be had by commercializing external R&D and letting others commercialize internal R&D that does not fit with the firm's strategy.

Butterfly Technologies Produces Touch-Enabled Wearable Devices