Is Design Thinking the Bridge to the Success of Product Innovation

DOI

10.2991/978-2-38476-228-6_9How to use a DOI?

Keywords

Design Thinking; Innovation Performance; Market Orientation

Abstract

Innovation strategy is one of the tools to become a sustainable competitive advantage of a company in an industry. Creating something new is one of the ways to attract more customers. It is not taken into account by itself but there must be prerequisite condition to reach that to avoid new product failure in a market. Design thinking as a developed-tool in problem-based solution can help the business owners to create new products. However, this action does not take for granted for business runner to obtain high performance of their product innovation, if they do not have well understanding of their market-orientation in creating their new offerings. Small Medium Enterprises try to make new products for their market, unfortunately the new innovation products is not always accepted by their market. So that, it becomes a problem for them and needs a solution. To evoke this problem, this study aims to know whether variable of market orientation influence on innovation performance using design thinking as mediating variable. This research used multivariate statistic analysis, using statistical analysis by SEM-PLS with regression and mediation test. Taking a survey by 54 respondents those who have their own business, having different kinds of business such as fashions, culinary, and crafts which are spread in Yogyakarta Province. The result of this study describes that customer orientation has positively direct effect of on design thinking, the stronger the firm has customer oriented the more design thinking applied by them. The second finding revealed that design thinking is positively effect on innovation performance, the better design thinking implemented in a firm the better for innovation performance. Furthermore, design thinking as mediating variable has positively indirect effect which relate between market orientation towards innovation performance.

Copyright

© 2024 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Sauptika Kancana
AU  - Naili Farida
AU  - Ngatno Ngatno
AU  - Bulan Prabawani
PY  - 2024
DA  - 2024/06/12
TI  - Is Design Thinking the Bridge to the Success of Product Innovation
BT  - Proceedings of the International Conference on Multidisciplinary Studies (ICoMSi 2023)
PB  - Atlantis Press
SP  - 99
EP  - 109
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-38476-228-6_9
DO  - 10.2991/978-2-38476-228-6_9
ID  - Kancana2024
ER  -