In this paper the importance of innovation discussed briefly. what is innovation and how it can be applied to business regarding to ensure business stay in competitive advantage.
“Innovation is the central issue in economic prosperity” Michael Porter (1974)
According to the ever-changing business market, it is compulsory to have a constant revised
plan for standing in a rigid competition. Changes raised regarding to customer needs, thus
organizations expose to consider innovation both internal and external. Thomas et. al. (2010,
p.24), argued that innovation is the interaction of “an invention into a use that has economic
value”. However, it should be noted “entrepreneur are not necessarily inventors and not all
inventors are entrepreneur”.
Paachile is a custom shoe designer founded in Iran in 2014. They work on a traditional Persian
handmade shoe known as Giveh. The history of this kind of shoe goes back to one of
the Iranian heroes in the Shahnameh Giv (977–1010 CE) as he wore a light, cool and durable
shoes. This traditional footwear is one of the interesting and valuable handicrafts in Iran with the
UNESCO stamped seal of approval on originality and quality by 2010 and 2012.
Paachile start the revolution by modernizing this traditional lightweight and breathable shoes via
presenting them in different colors, design and materials. Originally, these footwears were men
choices as it was produced in two color black and white, but Paachile change the market into all
age and gender demand. Also, they offer various matched accessories such as woven anklet or
wrist band and handbags.
Sahut et. al. (2013, p.4), stated that although small enterprises have limited access to resource
but size is not the matter for innovation dynamics. Moreover, Bible (2015), propound the
importance of term “grand strategic” for organizations success. In this essence, companies
consider the 15-grand strategies to increase their market share. Paachile was not an exception
and applied innovation, product development and market development strategies to use
the maximum potential of simple black/white traditional shoe in the higher level by delivering
final product in colorful, pattern, design, different texture and personalized shoes to their
customers and focused on concentrated growth strategies to sought in the market competition.
Undoubtedly, vertical integration and long-term strategic Alliance along with other applied
strategies suppress pressure of cost and stay strongly competitive.
Additionally, Paachile expand their platform to Instagram and Facebook a year before COVID-
19 Pandemic which was a huge advantage for them during this though time to stay competitive.
References
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