Innovative “no distance” education integrating top engineering and business students from five top global academies into one virtual classroom using telecommunication tools (Adobe Connect) across time zones and geographical barriers. Universities: USC Marshall School of Business & Viterbi School of Engineering (Los Angeles, CA) Peking University (China) KAIST (South Korea) RWTH Aachen University (Germany) Technion Israel Institute of Technology http://vimeo.com/78748821 Semester course with immersive global trip to KAIST in Daejeon, South Korea and final showcase at USC Global Conference in Seoul. Collaborated on international team to develop new product line, conducted market research and cross cultural analysis, gained project management skills.

1. RED TEAM
Felix Habermeyer
Marie-Theres Heß
Maxim Pahter
Yuval Borenstein
Steve Wolfsohn
Ujin Kim
Session A
5-20-13
GLOBAL INNOVATION
PROCESS
Professor'Stephen'Lu'
Viterbi'School'of'Engineering
University'of'Southern'Californ
Los'Angeles,'CA'90089@1453'U.S
!*"Lecture"notes!for!“Principles!and!Prac3ce!of!Globa
(a!USC/PKU/KAIST/Technion!iPodia!class,!spring!sem
Sunday, May 19, 13

2. AGENDA
I. Introduction
II.Market Research & BCG:
Israel
Germany
USA
III. R+D Technology & Product Development
IV. Innovation Practices
V
Un
Los'
!*"Lecture"note
(a!USC/PKU/K
Sunday, May 19, 13

3. INTRODUCTION
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4. INTRODUCTION
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5. GERMANY
USA
ISRAEL
MARKET RESEARCH
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6. ISRAEL Market Research: Analysis
Profitable variants: TI1, TI3, TI7, TI8, TI9
Selected Variant: TI8
Capacitance: Most important (4 slot)
Cancel Control: Handy for busy multi-tasker
NO Bun Warmer: KISS (Keep It Simple Stupid)
Plastic: Quality design, no preference for material
Short Slot: Israeli consumer prefer long
2nd largest revenue
& larger market share than first (invest in R+D > Marketing)
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7. LONG TERM: TI3 to transform from STAR to CASH COW
SHORT TERM: Most profitable
Selected Variant: TI8
2nd most profitable in the SHORT TERM & as market grows ? to STAR to CASH
COW
Gain brand recognition for customer value satisfaction (TI8) by meeting all
latent market needs while aiming for two CASH COWS.
ISRAEL BCG PORTFOLIO
?: TI1, TI8, TI9
Star : TI3
Dog: TI7
Cash Cow: N/A
Sunday, May 19, 13

8. Market Research: Analysis
Profitable variants: TD1, TD3, TD4, TD5, TD7, TD8, TD11
Selected Variant: TD1 & TD8
GERMANY
TD1 TD 8
Popular Profitable
Bun Warmer: important feature for the
German market, because it makes the toaster
useful for any kind of bread
Brushed Stainless steel: High quality design
Cancel Control: Secure for our customers and
easy to handle. Eliminated every variant
without this feature.
Short Slot: Prefer long slot as more versatility,
but less profitable.
Price: 23 Euro in the price range
No Bun Warmer: Unfavorable, but cheaper.
Plastic: Cheaper material cost & easier to clean
and move as lighter than steel. Product adjustable
(color match kitchen).
Cancel Control
Capacity: 4 slices of toast.
Sunday, May 19, 13

9. BCG PORTFOLIO
?: TD7, eventually TD1 and TD8
Star : TD4, TD5, TD11
Dog: TD3, eventually TD1 and TD8
Cash Cow: N/A
GERMANY
LONG TERM: TD5 & TD11
- Market growth >5% and relative market share >40%.
- Invest in STAR for CASH COW
Selected Variants: TD1 & TD8 are between POOR DOGS AND ?, some risk.
TD4: “Star of Stars” but not meet customer requirements.
Note: The data for the variant TD 11 was missing, so we had so estimated its potential market share and its market
growth.
- Most profitable (market profit of 24,402 euros)
- Long Slot and flexible design capabilities with plastic
- No bun warmer + no cancel control
Sunday, May 19, 13

10. Market Research: Analysis
Profitable variants: TU1, TU3, TU5, TU8, TU12
Selected Variant: TU3 & TU8
USA
No cancel
Plastic: Americans prefer steel, but plastic is
more cost effective and flexible.
No bun warmer
2 slice
Short slot
Affordable at € 25 with market profit of € 14,960
Cancel control
Plastic
No bun warmer
4 slice: Capacitance was major concern.
Short slot
Affordable sales price € 30 with market profit at
€18,819.
More expensive cost per variant than TU3,
higher sales price, cancel option for diversified
control options
TU3 TU8
Sunday, May 19, 13

11. BCG PORTFOLIO
CASH COWS: TU12
STARS: TU3, TU5
QUESTION MARKS: TU1, TU8
POOR DOGS: N/A
LONG TERM: TU5
SHORT TERM: TU3 &TU8
Note: TU12 (CASH COW) is not offered as a profitable variant especially during the short run as may not have
much market growth.
STARS (TU3 & TU5) should have R+D investment. TU5 is biggest star with highest forecast value (9%) and
market share (73%).
TU8 is leading profit generator. Close to line between ? and STAR with adequate 7% growth but slightly
insufficient market shares (38%). However, highly valued by American consumer.
USA
Sunday, May 19, 13

12. R+D Network
Between US and Germany, we will place resources in Germany for lower costs and
similar high performance. Germans speak more languages, which is helpful in
communication with research units in Israel and USA. Advantage of one time zone.
R+D NETWORK: According to the “Relational based view” by Dyer and Singh
CLEANDEVTECH able to develop network with other enterprises, as many kitchen supply
producers (Siemens, Severin, etc) are based in Germany which will provide more
SYNERGY!
SYNERGY- EFFECT
Rise in productivity from better communication with same language and time zone
Sunday, May 19, 13

13. Cost Overview
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14. Isolation
Many customers where complaining about the
temperature of the toaster while working. A hot
external surface is a safety risk and a proper
isolation would prevent that.
Mobile Phone App
Many features + novelty of mobile experience
from smart phone (i.e. remote control, when
toast is ready, visual feed of toast). Smaller
scale app idea for a toasting guide (bread
types and toasting level, etc).
Window/see-through cover
Warming function
Keep the toast warm after it is finished but NO
MORE TOASTING. This eliminates the problem
of setting the toaster, letting it run, and
forgetting about it, only to return to cold toast.
This would also let you eat your first piece of
toast while the second stays warm.
Folded toaster
The toaster could be made more compact for
simple movement and storage when not in
use.
INNOVATION PROPOSALS
D12; first successful electrical toaster
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15. INNOVATION PROPOSALS
Toast removal system
Implement a basic system to get the toast out of the
toaster and on the plate in a way without burning you
fingers or needing to reach in dangerously with a
form.
Changing colors while working
Aesthetic and practical appeal as toaster is normally
stored on counter at all times. Colorful lights would
be attractive for younger customers and distinguish
our particular model.
8 slice toaster
America's number one complaint was the lack of
toaster capacity and efficiency.
Slot Control
A toaster with several slots which can be controlled
independently
Crumb slot
Easy to clean crumbs by base slot that is removable.
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16. Team Red signing out...
Thank you. ‫רבה‬ ‫.תודה‬ Danke.
Sunday, May 19, 13

17. QUESTIONS?
Sunday, May 19, 13