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MGMT20143 Idea Generation and Business Model Development Assignment Sample
Weighting: 30% (30 marks)
Word limit: 1500 words (+/- 10%)
Objective of Assessment
1. Develop, through independent research, an advanced and integrated understanding of the key concepts of innovation, business models, and new ventures in commercial, digital, service, or social contexts.
2. Critically analyse cases of disruptive innovation by applying lean entrepreneurship principles.
3. Generate, evaluate and communicate creative ideas for new ventures to a variety of audiences.
4. Research and apply established theories related to ideation processes, business model design principles, and forecasting.
Task description -
• The objective of this assessment is to learn how to develop your own business idea, complemented by research and observational insights that detail why it is compelling.
• You are required to submit a report of your idea including the business model canvas, the interrelationships among the business model components that are essential to its success, critical risks and assumptions, and overall feasibility.
• Your report for online assignment help should demonstrate your critical thinking skills and your ability to professionally articulate your findings.
Solution
Introduction
Starting a new organization fundamental distinction between opportunity and a concept is crucial. The concept is a vision that's also designed based on the possibility that has been recognized, whereas an initiative is a positive possibility that detects the requirement for new services. Due to their being unable to recognize the issue and opportunity imbalance, new businesses constantly fail during their initial stages. An innovative business concept proposed in this report is Amazon’s drone delivery system. This business concept can help to provide clients effective delivery within a time. The system takes into account logistics; drone design and other aspects to forecast what Amazon may deploy and manage the drone control. Excluding, cost savings Research and Development expenses of up to a third on every package delivered compared to surface delivery appear realistic.
Identified gap
The primary important step of an effective and innovative concept is to find the main problem. In the existing business it can include any type of limitation structure and challenges which need to be encountered. The innovative idea of the drone delivery system can help address issues which most of the public are recently facing critically. Most of the packages are delivered lately due to traffic (Crisan & Nechita, 2019). The drastic increase of late delivery creates a bad impact within the customer which needs to be solved quickly.
Benefits of the concept
1. Benefit for the company
It is more affordable to operate and purchase than the conventional methods of transportation delivery. It can help to reduce labour cost and it can be used autonomously. It is also much safer than the traditional delivery system (Hong & Murray, 2017).
2. Benefit for their clients
Amazon can provide the items to their customers on time. Customers can track their items or products quickly and also help create doorstep delivery. This concept can help to increase the customer retention process effectively.
Business model
The manufacturing business concept will be utilized to determine whether the suggested business concept is practical. The producer creates the goods using the raw materials in this form of business structure, and can either sell the finished package directly to customers through the aid of a distribution.
Evaluation of feasibility
The feasibility analysis process can help check the viability of business model.
The concept of drone delivery is innovative. The prospect of obtaining a item delivered by drone is probably exciting to many people within its delivery area. A further benefit is a quicker delivery quick response. Drone deliveries would almost probably take less time on average than traditional deliveries (Jung & Kim, 2017). Current customers have the option of waiting multiple hours for delivery to arrive at their house or traveling to a store to purchase the merchandise. The client only has to wait a little while and obtains the stuff thanks to drone delivery. Additionally, it's possibly even probable that longer-range drones operating out of urban hubs will lower delivery costs in rural locations. Amazon stands to earn significantly if the drone initiative is successful. Amazon will have an important competitive advantage across both digital and physical stores. Business can grow as a result of drone deliveries' speedy turnaround and early novelty. The report reveals that drone delivery offers a competitive edge of at least one-third per item over conventional delivery, even though the mechanics of the system are still an unknown for individuals of Amazon's internal operations. Similar system might be used for parcel delivery, but using a dynamic traffic model. Parcel delivery necessitates point-to-point transportation between separate private entities as opposed to the connector model of delivering the product (Pandit & poojari, 2014) . Based on the postal drone dispatching model, this scattered traffic volume can either reduce or increase their distance restrictions, posing a distinct set of technological issues and possible solutions than product delivery. Amazon can have a significant competitive advantage in both online and offline retail. The quick turnaround and early novelty of drone delivery can increase business. Even though the physics of the system are still unknown to some of Amazon's internal operations, the analysis suggests that drone delivery gives a competitive edge of at least one-third per item over conventional delivery. Deliveries made by drones would almost certainly take less time overall than deliveries made by humans. Current clients can either drive to a store to buy the item in person or wait several hours for delivery to come to their home. Thanks to drone delivery, the client just needs to wait a short time to get the items.
Figure 1: Sales of Amazon from 2018-2022
(Source: Shavarani et al., 2019)
Critical success factor
The critical success factor is most essential for any organization. They need to ensure the development of the organization to retain trust of customers. The critical success factor can help to make successful business for the Amazon are mentioned:
1. Help of delivery
The on-time delivery system of items can help to ensure success rate of the company
2. Environment impact
Drone delivery has been considered an eco-friendly process which helps to maintain sustainability in the environment.
3. Affordable price
This system has not been attached with traditional system which can help to produce sustainability with affordable price.
Challenges
First before potential of drone delivery could be fully realized, a variety of major obstacles must be overcome. The effective use of delivery drones’ hinges upon that creation of real solutions to yet unresolved issues, which reflect a dynamic field of study and governance (Sudhury et al., 2016). There major categories and a single required technology can be used to categories these problems.
The two main drawbacks of delivery drones, particularly aerial drones, in comparison to traditional truck deliveries are distance and payload. Aerial drones must have lightweight batteries, which are insufficient for long-range or high loads. For instance, the present Amazon prototype may make deliveries up to 4 lb across a 16 mi range. Commercial delivery drones cannot completely replace current delivery systems due to each destination is within 16 mi of a factory, it's not like every residence is an approachable house, and not every shipment weighs less than 4 lbs. The energy efficiency, cost and time of delivery drones directly relates to their economic feasibility and environmental impact. For instance, it is immediately obvious that using a drone to transport packages will lead to lower net carbon pollution than traditional delivery methods.
Design problems that directly affect the sustainability and viability of the drone-delivery idea include improving the effectiveness of drones by developing it quicker, less expensive, greener, quieter, more able to handle more traffic. The first image that springs to mind as we consider of synchronization is a scientific knowledge image of a sky filled with drones and aero planes flying by one another in a carefully planned dance of close calls and changing paths. In actuality, stringent segregation between planes will definitely bring the skies free for decades to come due to a mix of technical challenges and cautious regulation (Shavarani et al., 2019). All pilot drone is required to employ a specific technology known as the Integrated Dependent Monitoring in certain congested airspaces. All involved aircraft must be aware of the positions, altitudes, and speeds of surrounding aircraft, as well as the controllers. . Amazon can provide the items to their customers on time. Customers can track their items or products quickly and also help create doorstep delivery. This concept can help to increase the customer retention process effectively. Similar system might be used for parcel delivery Even though many drone also have ADS in transmitters, which enable them to see the relative locations and speeds of other cooperating aircraft, the Government strictly only requires ADS out transmitters, expressly for every drone to broadcast has its position. In some crowded airspaces, all drone pilots are required to use a particular technology called as Integrated Dependent Monitoring. The positions, altitudes, and speeds of any nearby aircraft as well as the controllers must be known to all involved aircraft. The government strictly only requires ADS out transmitters, specifically for every drone to broadcast its position. Many drones also include ADS in transmitters, which allow them to see the relative locations and speeds of other participating aircraft.
Conclusion
Amazon will have an important competitive advantage across both digital and physical stores. Business can grow as a result of drone deliveries' speedy turnaround and early novelty. The report reveals that drone delivery offers a competitive edge of at least one-third per item over conventional delivery, even though the mechanics of the system are still an unknown for individuals of Amazon's internal operations. Drone deliveries would almost probably take less time on average than traditional deliveries. Current customers have the option of waiting multiple hours for delivery to arrive at their house or traveling to a store to purchase the merchandise. The client only has to wait a little while and obtains the stuff thanks to drone delivery. By simulating the Elite Air structure in the globe, the idea presents a beneficial framework to investigate the work innovation of the drone structure. Amazon can provide the items to their customers on time. Customers can track their items or products quickly and also help create doorstep delivery. This concept can help to increase the customer retention process effectively.
Similar system might be used for parcel delivery, but using a dynamic traffic model. Parcel delivery necessitates point-to-point transportation between separate private entities as opposed to the connector model of delivering the product. Based on the postal drone dispatching model, this scattered traffic volume can either reduce or increase their distance restrictions, posing a distinct set of technological issues and possible solutions than product delivery.
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