When a global firm turns to its subsidiaries in less developed markets for new product ideas, such as when Coca-Cola developed Minute Maid Pulpy out of its Shanghai research center and then moved the product into other markets around the world, the firm is engaged in
A)a consortia.
B)reverse innovation.
C)competitive engineering.
D)pioneering.
E)beta testing.

Question

Quizplus · Accepted Answer

This scenario describes reverse innovation, which is when companies develop new products or services in emerging markets and then bring them back to their home markets or other developed markets. This is in contrast to traditional innovation models, where new products are typically developed in mature markets and exported to emerging markets.

When a Global Firm Turns to Its Subsidiaries in Less