Case Study

Zero S Motorcycle Case Study

Zero S is a new model of motorcycle that is the first of a kind. It is electric and very economical to use in long-distance travels and even in streets. This is an incentive that most consumers will be looking for. However, as a first mover, there are several disadvantages associated with the new ‘one of a kind’ product. First, the company bears the social and economic burden of developing the new product. Competitors are likely to exploit this innovation and produce a substitute or a competing product that will affect the market for Zero S. this implies that the competitors are likely to examine the product, modify it to increase efficiency and reduce cost and hence have, in the end, better market position than the first mover. Second, due to the economic burden and lack of benchmarks and products to compare, first movers often have very little resources to improve their first product with the emerging technologies. This implies that the first mover may be forced to adhere rigidly to the original technology due to financial constraints.

As an innovator and inventor, Neal Saiki has been able to guide the company towards the development of new product. The main trait that is observed on inventors and innovators is the ability to recognize the gaps in the market and develop products to fill the gap. Saiki’s skills are responsible for the innovative business strategy for the company. If the founder’s expertise were finance or advertising, the strategy would be focused on either increasing the revenues from the traditional motorcycle or increasing the demand through advertising strategies rather than innovating to fill the existing gaps in the market.

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