Beyond niche thinking: Market selection in science-based ventures

Matching a new technology to an appropriate market is a major challenge for new technology-based firms (NTBF). Such firms are often advised to target niche-markets where the firms and their technologies can establish themselves relatively free of incumbent competition. However, technologies are diverse in nature and do not benefit from identical strategies. In contrast to many Information and Communication Technology (ICT) innovations which build on an established knowledge base for fairly specific applications, technologies based on emerging science are often generic and so have a number of markets and applications open to them, each carrying considerable technological and market uncertainty. Each of these potential markets is part of a complex and evolving ecosystem from which the venture may have to access significant complementary assets in order to create and sustain commercial value. Based on dataset and case study research on UK advanced material university spin-outs (USO), we find that, contrary to conventional wisdom, the more commercially successful ventures were targeting mainstream markets by working closely with large, established competitors during early development. While niche markets promise protection from incumbent firms, science-based innovations, such as new materials, often require the presence, and participation, of established companies in order to create value. © 2012 IEEE.

Market-pull and technology-push in manufacturing start-ups in emerging industries

Purpose - As traditional manufacturing, previously vital to the UK economy, is increasingly outsourced to lower-cost locations, policy makers seek leadership in emerging industries by encouraging innovative start-up firms to pursue competitive opportunities. Emerging industries can either be those where a technology exists but the corresponding downstream value chain is unclear, or a new technology may subvert the existing value chain to satisfy existing customer needs. Hence, this area shows evidence of both technology-push and market-pull forces. The purpose of this paper is to focus on market-pull and technology-push orientations in manufacturing ventures, specifically examining how and why this orientation shifts during the firm's formative years. Design/methodology/approach - A multiple case study approach of 25 UK start-ups in emerging industries is used to examine this seldom explored area. The authors offer two models of dynamic business-orientation in start-ups and explain the common reasons for shifts in orientation and why these two orientations do not generally co-exist during early firm development. Findings - Separate evolution paths were found for strategic orientation in manufacturing start-ups and separate reasons for them to shift in their early development. Technology-push start-ups often changed to a market-pull orientation because of new partners, new market information or shift in management priorities. In contrast, many of the start-ups beginning with a market-pull orientation shifted to a technology-push orientation because early market experiences necessitated a focus on improving processes in order to increase productivity or meet partner specifications, or meet a demand for complementary products. Originality/value - While a significant body of work exists regarding manufacturing strategy in established firms, little work has been found that investigates how manufacturing strategy emerges in start-up companies, particularly those in emerging industries. © Emerald Group Publishing Limited.

Customizing the technology roadmapping technique for software companies

Software importance keeps growing fast and consistently for many organizations. The growth of software functionality in manufactured products and the emergence of digital media, convergent spaces including digital content, software, and multi-channels to the market, are recent examples of organizational changes where software assumed a central position for the corporate strategy. This paper analyzes the alignment between strategic objectives and software development processes at software companies and proposes a methodology to ensure that development processes are aligned with the corporate capabilities required to exploit future market opportunities. The methodology includes the categorization of different software companies according to their core capabilities and the customization of the technology roadmapping technique for software companies. The research process included the realization of case studies and a survey. (c) 2006 PICMET.

Deliberation in the motor system: reflex gains track evolving evidence leading to a decision.

Both decision making and sensorimotor control require real-time processing of noisy information streams. Historically these processes were thought to operate sequentially: cognitive processing leads to a decision, and the outcome is passed to the motor system to be converted into action. Recently, it has been suggested that the decision process may provide a continuous flow of information to the motor system, allowing it to prepare in a graded fashion for the probable outcome. Such continuous flow is supported by electrophysiology in nonhuman primates. Here we provide direct evidence for the continuous flow of an evolving decision variable to the motor system in humans. Subjects viewed a dynamic random dot display and were asked to indicate their decision about direction by moving a handle to one of two targets. We probed the state of the motor system by perturbing the arm at random times during decision formation. Reflex gains were modulated by the strength and duration of motion, reflecting the accumulated evidence in support of the evolving decision. The magnitude and variance of these gains tracked a decision variable that explained the subject's decision accuracy. The findings support a continuous process linking the evolving computations associated with decision making and sensorimotor control.

Numerical computation of laminar flow in a heated rotating cavity with an axial throughflow of air

A heated rotating cavity with an axial throughflow of cooling air is used as a model for the flow in the cylindrical cavities between adjacent discs of a high-pressure gas-turbine compressor. In an engine the flow is expected to be turbulent, the limitations of this laminar study are fully realised but it is considered an essential step to understand the fundamental nature of the flow. The three-dimensional, time-dependent governing equations are solved using a code based on the finite volume technique and a multigrid algorithm. The computed flow structure shows that flow enters the cavity in one or more radial arms and then forms regions of cyclonic and anticyclonic circulation. This basic flow structure is consistent with existing experimental evidence obtained from flow visualization. The flow structure also undergoes cyclic changes with time. For example, a single radial arm, and pair of recirculation regions can commute to two radial arms and two pairs of recirculation regions and then revert back to one. The flow structure inside the cavity is found to be heavily influenced by the radial distribution of surface temperature imposed on the discs. As the radial location of the maximum disc temperature moves radially outward, this appears to increase the number of radial arms and pairs of recirculation regions (from one to three for the distributions considered here). If the peripheral shroud is also heated there appear to be many radial arms which exchange fluid with a strong cyclonic flow adjacent to the shroud. One surface temperature distribution is studied in detail and profiles of the relative tangential and radial velocities are presented. The disc heat transfer is also found to be influenced by the disc surface temperature distribution. It is also found that the computed Nusselt numbers are in reasonable accord over most of the disc surface with a correlation found from previous experimental measurements. © 1994, MCB UP Limited.

Kernelized sorting

Object matching is a fundamental operation in data analysis. It typically requires the definition of a similarity measure between the classes of objects to be matched. Instead, we develop an approach which is able to perform matching by requiring a similarity measure only within each of the classes. This is achieved by maximizing the dependency between matched pairs of observations by means of the Hilbert Schmidt Independence Criterion. This problem can be cast as one of maximizing a quadratic assignment problem with special structure and we present a simple algorithm for finding a locally optimal solution.

The process of making the business case for technology: A sales and marketing perspective for technologists

Technological investment is a key driver of innovation and the evaluation of technology potential is becoming increasingly important in this context. There is a range of approaches and tools for developing an understanding of the value of technology. However the process of communicating this potential to possible customers is not well documented in terms of theory and practice and falls outside the skill set of many technologists. This paper seeks to integrate the concepts of marketing and consultative selling into making business cases for new technologies. It describes an exploratory study which results in an outline process activity model for technologists wishing to build an effective business case for securing investment internally or when selling a technology externally. Following a review of literature, we suggest that there is potential to learn from market research and consultative sales techniques, and propose a five step process. The work has been industrially validated and forms a novel foundation for further development. © 2012 Elsevier Inc.

Probability-Matching Predictors for Extreme Extremes

A location- and scale-invariant predictor is constructed which exhibits good probability matching for extreme predictions outside the span of data drawn from a variety of (stationary) general distributions. It is constructed via the three-parameter {\mu, \sigma, \xi} Generalized Pareto Distribution (GPD). The predictor is designed to provide matching probability exactly for the GPD in both the extreme heavy-tailed limit and the extreme bounded-tail limit, whilst giving a good approximation to probability matching at all intermediate values of the tail parameter \xi. The predictor is valid even for small sample sizes N, even as small as N = 3. The main purpose of this paper is to present the somewhat lengthy derivations which draw heavily on the theory of hypergeometric functions, particularly the Lauricella functions. Whilst the construction is inspired by the Bayesian approach to the prediction problem, it considers the case of vague prior information about both parameters and model, and all derivations are undertaken using sampling theory.

Cabaret finite-difference schemes for the one-dimensional Euler equations

In the present paper we consider second order compact upwind schemes with a space split time derivative (CABARET) applied to one-dimensional compressible gas flows. As opposed to the conventional approach associated with incorporating adjacent space cells we use information from adjacent time layer to improve the solution accuracy. Taking the first order Roe scheme as the basis we develop a few higher (i.e. second within regions of smooth solutions) order accurate difference schemes. One of them (CABARET3) is formulated in a two-time-layer form, which makes it most simple and robust. Supersonic and subsonic shock-tube tests are used to compare the new schemes with several well-known second-order TVD schemes. In particular, it is shown that CABARET3 is notably more accurate than the standard second-order Roe scheme with MUSCL flux splitting.