INNOVATION AND DESIGN THINKING

ASSIGNMENT
1. Name a company and explain its business strategy.
Company: Apple Inc.
Business Strategy:
Apple Inc. follows a differentiation strategy focused on innovation, premium design, seamless
integration of hardware and software, and a strong ecosystem of devices and services. Its strategy
revolves around:
• Product Innovation: Apple continuously launches new products (like the iPhone, iPad,
Mac, Apple Watch) with advanced technologies and sleek design.
• Brand Loyalty and Experience: Apple creates a premium user experience through quality,
minimalism, and consistent customer support.
• Ecosystem Lock-in: Integration across devices (macOS, iOS, watchOS, iCloud) creates
convenience, encouraging users to stay within Apple’s ecosystem.
• Global Presence and Marketing: Apple positions itself as a global lifestyle brand through
focused marketing and a uniform global retail experience.

2. Discuss how its focus on innovation, customer, and its business competitive
advantage stands against its opponent.
Innovation Focus:
• Apple invests heavily in R&D to design unique hardware (like the M1 and M2 chips) and
features (like Face ID, Dynamic Island, or Vision Pro for AR/VR).
• It has pioneered new product categories and redefined existing ones (e.g., the iPhone
revolutionized smartphones, AirPods changed the audio accessory market).
• Innovations are not just technical but also include business model innovations, like Apple
Pay, Apple One, and services revenue through App Store and subscriptions.

Customer Focus:
• Apple provides a customer-centric experience with intuitive UI/UX, customer service at
Apple Stores, and ecosystem-wide integration.
• Customers feel a sense of personal attachment to Apple devices due to their reliability,
design, and brand prestige.
• It gathers customer feedback and usage data to improve products (like health features in
Apple Watch) and deliver meaningful innovation.

Business Competitive Advantage:

Against competitors like Samsung, Google, or Microsoft, Apple’s competitive advantages are:
• Brand Equity: Apple's brand is associated with quality, luxury, and reliability.
• Vertical Integration: Apple controls both hardware and software, leading to superior
performance and security.
• Retail Experience: Apple Stores offer unique experiences, repair services, and workshops,
strengthening customer relations.
• Pricing Power: Unlike many competitors, Apple can charge premium prices and still
maintain high demand due to brand value and perceived quality.
1. Name a company and explain its business strategy.
Company: KFC (Kentucky Fried Chicken)
Business Strategy:
KFC follows a cost leadership and product differentiation strategy in the fast-food industry. It
focuses on providing high-quality fried chicken products at affordable prices while maintaining
strong brand recognition and consistency across global markets.
Key aspects of KFC’s business strategy:
• Standardization with Local Adaptation: While its core product is fried chicken, KFC
adapts its menu to suit local tastes (e.g., Spicy Zinger in India, rice dishes in Asia).
• Franchise Model: KFC operates mostly through franchises, allowing rapid global
expansion and operational flexibility.
• Operational Efficiency: The company maintains consistent product quality, fast service,
and optimized supply chains to reduce costs.
• Strong Brand Identity: Through decades of branding around Colonel Sanders and the
secret recipe of 11 herbs and spices, KFC maintains strong customer recall.

2. Discuss how its focus on innovation, customer, and its business competitive
advantage stands against its opponent.
Innovation Focus:
• Menu Innovation: KFC regularly launches new items tailored to regional preferences. In
India, it introduced vegetarian options, biryani boxes, and Indian spices to appeal to a wider
customer base.
• Technology Integration: KFC has adopted online ordering, app-based delivery, AI-based
customer feedback systems, and digital kiosks for self-service in many outlets.
• Sustainable Packaging & Practices: KFC is moving toward eco-friendly packaging and
sustainability initiatives to align with global environmental concerns.

Customer Focus:
• KFC emphasizes customer satisfaction through value meals, quick service, and clean,
welcoming outlets.
• It collects feedback through mobile apps, surveys, and social media to continuously improve
its service and menu offerings.
• During the COVID-19 pandemic, KFC prioritized contactless delivery and hygiene,
ensuring customer safety and trust.

Business Competitive Advantage:

Against competitors like McDonald's, Burger King, and local fast-food chains, KFC holds
several advantages:
 • Unique Product Offering: KFC specializes in fried chicken, giving it a unique brand
identity compared to burger-focused rivals.
• Global Presence + Local Relevance: KFC’s ability to adapt to local tastes while
maintaining global standards helps it stand out.
• Strong Supply Chain: The company has a well-developed logistics system ensuring
consistency in taste and quality across outlets.
• Brand Loyalty: With decades of brand history, customers associate KFC with trustworthy
taste and value.

1. Name a company and explain its business strategy.

Company: KFC (Kentucky Fried Chicken)
KFC, a subsidiary of Yum! Brands, is a globally recognized fast-food chain known for its fried
chicken. Its business strategy is a mix of cost leadership, differentiation, and glocalization—a
combination of global brand strength and local market adaptation. KFC focuses on delivering
consistent quality, taste, and service while tailoring its menu to local tastes. For example, in India,
KFC offers vegetarian items and regional spices to cater to cultural and religious preferences. This
strategy of localized innovation helps it maintain relevance in diverse markets.
The core of KFC's strategy lies in franchising. Over 90% of KFC outlets are run by franchisees,
allowing the company to expand rapidly with minimal capital investment. This model ensures
consistent quality through strict operational standards and centralized supply chains. KFC also
emphasizes operational efficiency, maintaining consistency in food preparation, hygiene, and
customer service across all outlets worldwide.
KFC uses strategic marketing, digital ordering platforms, and value pricing to attract and retain
customers. Its branding—centered around Colonel Sanders and the "11 herbs and spices" secret
recipe—adds to its unique market positioning. Overall, KFC’s strategy allows it to remain a leader
in the fast-food industry by balancing global identity with local sensitivity and innovation.

2. Discuss how its focus on innovation, customer, and its business competitive
advantage stands against its opponent.
KFC maintains a competitive edge through continuous innovation, strong customer focus, and a
clear brand identity that sets it apart from rivals like McDonald’s, Burger King, and local fast-food
players. Innovation at KFC goes beyond just new product development—it includes adopting
technology, enhancing delivery systems, and implementing sustainability practices. For instance,
it has introduced AI-driven ordering systems, contactless delivery, and digital kiosks to improve
service speed and customer convenience.
On the product side, KFC constantly updates its menu with regional flavors and seasonal offerings.
In India, it introduced spicy chicken buckets, rice bowls, and vegetarian options to cater to local
dietary habits. These adaptations enhance customer satisfaction and broaden its appeal.
Additionally, KFC has embraced eco-friendly packaging and healthier menu choices in response to
growing consumer awareness around sustainability and health.
KFC's competitive advantage lies in its core specialization—fried chicken—which differentiates
it from burger-based competitors. Its strong brand recall, standardized recipes, and quality control
create consistent customer experiences worldwide. By focusing on value meals, fast service, and a
reliable dining environment, KFC wins customer loyalty. Combined with a robust franchise model
and global supply chain, KFC effectively counters competition and sustains long-term growth in
the global QSR (Quick Service Restaurant) market.
1. Name a company and explain its business strategy.
Company: Pizza Hut
Pizza Hut, a subsidiary of Yum! Brands, is one of the largest pizza chains in the world. Its business
strategy revolves around a mix of differentiation, franchising, and customer convenience. The
company aims to provide a wide variety of pizzas and side dishes tailored to global and local tastes
while ensuring fast service and quality consistency.
One of the core pillars of Pizza Hut’s strategy is product variety and customization. From
traditional pan pizzas to local specialties (like Tandoori Paneer Pizza in India), the brand constantly
innovates to meet regional preferences. It also offers flexible meal combinations and family deals to
attract a broad customer base.
Pizza Hut uses a franchise model to expand globally, which allows rapid scaling while minimizing
operational costs. Standardized operating procedures ensure product consistency, while marketing is
localized to connect with regional audiences. The company also emphasizes digital
transformation, offering seamless ordering via mobile apps, websites, and third-party platforms.
In addition, Pizza Hut focuses on affordable pricing and value deals, making it accessible to
various income groups. Its dine-in, take-out, and delivery services are structured to provide
flexibility and convenience, making it a competitive player in the quick-service restaurant (QSR)
sector.

2. Discuss how its focus on innovation, customer, and its business competitive
advantage stands against its opponent.
Pizza Hut maintains its competitive position in the fast-food industry through a strong focus on
innovation, customer satisfaction, and unique selling propositions that differentiate it from rivals
like Domino’s, Papa John’s, and local pizzerias.
In terms of innovation, Pizza Hut consistently upgrades its menu offerings, introducing region-
specific items, seasonal flavors, and healthier options like whole wheat crusts or vegan toppings.
Technologically, it has adopted AI-driven delivery tracking, contactless ordering, and voice-
enabled services to improve customer experience and streamline operations.
Pizza Hut is also highly customer-centric, with efforts focused on ensuring convenience, value,
and satisfaction. The brand offers personalized deals, loyalty rewards, and user-friendly mobile
apps to retain and attract customers. Its dine-in format—unlike many competitors—provides a full-
service experience that appeals to families and groups, especially in urban areas.
Pizza Hut’s competitive advantage lies in its strong global brand image, consistent product quality,
and variety of service formats (dine-in, takeaway, delivery). Compared to Domino’s, which
emphasizes speed, Pizza Hut positions itself around taste, quality, and experience. Additionally,
its flexible pricing strategy, continuous product development, and strong franchise network enable it
to adapt quickly to changing consumer preferences and market trends, making it a strong player in
the global pizza market.
1. Name a company and explain its business strategy.
Company: Domino’s Pizza
Domino’s Pizza, one of the world’s largest pizza delivery chains, follows a cost leadership and
speed-focused differentiation strategy. The company aims to provide quality food at affordable
prices while ensuring fast and reliable delivery. Domino’s business model is built around
operational efficiency, technological integration, and franchise-based expansion.
One of Domino’s key strategies is its "30-minutes or free" delivery promise (adapted to local
regulations), which positions it as the fastest delivery brand in the QSR (Quick Service Restaurant)
segment. To achieve this, the company has developed efficient store layouts, centralized kitchens,
and optimized delivery routes. Their stores are strategically located in urban areas to cover high-
demand zones quickly.
Domino’s also relies heavily on its franchise model, allowing rapid growth while keeping
ownership costs low. Franchisees follow strict operational guidelines to maintain consistency in
taste, service, and hygiene.
Another core element of Domino’s strategy is its tech-driven customer experience. With a robust
online ordering platform, mobile apps, and real-time tracking, the company enhances convenience
and customer engagement. Overall, Domino’s business strategy is centered on delivering value,
speed, and consistency, which has helped it dominate the global pizza delivery market across
various countries.

2. Discuss how its focus on innovation, customer, and its business competitive
advantage stands against its opponent.
Domino’s Pizza maintains a strong market position through a clear focus on technological
innovation, customer-centric practices, and a delivery-first model that sets it apart from
competitors like Pizza Hut and Papa John’s.
In terms of innovation, Domino’s is a pioneer in the food delivery space. It was one of the first to
introduce real-time pizza trackers, voice-activated ordering via virtual assistants, and GPS-
based delivery tracking. In India, Domino’s also developed a lightweight app suitable for low-data
users, improving access in Tier 2 and Tier 3 cities. Its "Domino’s AnyWare" technology enables
ordering through smartwatches, TVs, and even cars, making the brand highly accessible.
Domino’s focuses deeply on customer satisfaction by offering regular discounts, combo deals,
loyalty programs, and customized ordering options. Feedback systems are integrated into the app,
allowing quick resolution of issues. The brand constantly updates its menu with regional
preferences like Paneer, Chicken Tikka, and even spicy cheese burst pizzas in markets like India.
Domino’s competitive advantage lies in its delivery speed, tech integration, and value pricing.
Unlike Pizza Hut, which also focuses on dine-in, Domino’s targets busy consumers who prefer
quick home delivery. By optimizing its supply chain, maintaining a strong digital presence, and
listening to customer needs, Domino’s continues to outperform its competitors in the global QSR
sector.