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During the formative period
of product innovation the processes used to produce it can be crude.
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Edison’s first lamps were
made by hand/. Generally as the rate of product innovation decreases the rate
of process innovation increases. The number of steps used in making an
electric light bulb went from 200->30 between 1880 and 1920.
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There are parallels here in
the formation of innovative/entrepreneurial firms. Loose organic structures
give way to formal controls and often the original entrepreneur leaves Jobs
at Apple, Noyce at Fairchild.
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Move in mainstream market
production ramps, rewards go to the process control.
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Shift in the basis of
competition from performance and technological considerations to price and
cost considerations
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