Final answer:
Knowledge push and need pull are two types of innovation strategies used by businesses. Knowledge push innovation occurs when a company uses its existing knowledge and expertise to develop new products or improve existing ones. Need pull innovation occurs when a company responds to specific market demands or customer needs by developing new products or services.
Step-by-step explanation:
Knowledge push and need pull are two types of innovation strategies used by businesses and industries to develop and introduce new products or services.
Knowledge push:
Knowledge push innovation occurs when a company uses its existing knowledge and expertise to develop new products or improve existing ones without necessarily responding to specific market demands. This type of innovation is driven by internal capabilities and focuses on creating products or services that are technologically advanced or offer unique features.
Example: The development of electric vehicles by Tesla is considered a knowledge push innovation. Tesla, with its expertise in electric vehicle technology, introduced a range of electric cars that were technologically advanced and different from traditional gasoline-powered vehicles.
Need pull:
Need pull innovation occurs when a company responds to specific market demands or customer needs by developing new products or services. This type of innovation is driven by external factors and aims to meet customer needs or solve specific problems.
Example: The introduction of ride-sharing apps like Uber and Lyft is an example of need pull innovation. These companies identified the need for convenient and affordable transportation services and developed platforms that connected drivers with passengers, addressing the specific need for on-demand transportation.