2. The Opportunity Engineering Process
In our executive education classes at Wharton, we use the following simplified case to illustrate what we mean by Opportunity Engineering (OE). The example is based on a real situation but is vastly simplified. We could easily make the argument a lot more complex, at great cost to understandability, but we want it to be simple to follow.
Illustrative Case Study 1: Entering a Foreign Market
An Innovation team thinks that they can enter the Chinese market with a new cement additive product that they have developed.
There is a 5% chance that the adoption rate in this new market will be rapid. The expected Net Present Value (NPV) for this product is $1,400 if the adoption is in fact rapid and they can cash in ...