REVISTA DYNA MANAGEMENT

Key words:

Innovación inversa, Estrategia, PYMES, Ingeniería frugal, Reverse innovation, Strategy, SMEs, Frugal engineering

Article type:

ARTICULO DE INVESTIGACION / RESEARCH ARTICLE

Section:

RESEARCH ARTICLES

ABSTRACT:
Reverse innovations are typically originated in the developing countries and later adopted in rich countries. This strategy is increasingly practiced by multinational enterprises (MNEs) that can access the market structure of the developing countries and can deploy all the company force to come up with innovations. Small and medium-sized enterprises (SMEs) increasingly face competition from products by new entrants located in the developing world, often applying frugal innovation, as well as from products developed by MNEs through reverse innovation. It is therefore critical that they defend their position by developing products using the techniques of reverse innovation; however, in doing so they face specific challenges. In this article we discuss these challenges, and best practices so as to implement reverse innovations in SMEs from those used in MNEs.

Key Words: Reverse innovation, Strategy, SMEs, Frugal engineering