Abstracts In this thesis, we presented a frugal product and methodology for customizing prosthetic socket for developing countries where an overwhelming number of prostheses are necessary, and the availability, accessibility and cost of prosthetics are significant concerns to limb deficient persons that without the assistance of a prosthetic device may not be able to function. In order to design a frugal prosthetic socket, a design methodology is sought that will best achieve an appropriately designed, low-cost, with simple production method. Through the study of modern design methodologies, a strategy is proposed that emphasizes the intersection of the mechanical design process (contemporary design tools), biomechanics, and low-cost design. Key components of this methodology are previous research and frugal innovation in the design process. Along with a review of the state of the art, provide the groundwork for both the proposed new methodology as well as generating a new concept of prosthetic socket. The result of this study, using the generated concept and simple methodology, a frugal prosthetic socket (FPS) is developed to demonstrate the basic functionality of the concept and manufacturability of the proposed method. Finally, Frugal Prosthetic Socket is found as a solution for the problems since it can reduce one heavy complex process for optimizing customization of the prosthetic socket and reduce 70 % of the cost of the prosthetic socket by using local material (rawhide), local manufacturing technique and implementing frugal innovation concept.

Indien är en tillväxtmarknad med många möjligheter; det är en plats för nytänkande och frugala innovationer. Frugala innovationer är ett fenomen som Indien är välkänt för. I grunden uppstår frugala innovationer genom sparsamhet i processen för att ta fram effektiva lösningar. Kunskapen om frugala innovationer och dess förhållningssätt kopplat till svenska energiföretag som är inom branschen för förnybara energikällor är dock begränsad. Därför är innovationsmyndigheten Vinnova och Energimyndigheten intresserade av att se om det finns potential för ett antal svenska energiteknikföretag att lyckas etablera sig på Indiens marknad för förnybara energikällor, där effektivitet och sparsamhet är viktigt. Undersökningen har skett genom en kvalitativ forskningsmetod i form av intervjuer med de företag som har varit tillgängliga och även med en expert med kunskap om den Indiska marknaden. Teorier har främst hämtats ifrån tryckt litteratur och vetenskapliga artiklar. Under studiens gång arbetade författarna fram en modell som kan användas för att bedöma ett företags förmåga att etablera sig på en främmande marknad. I modellen ingår ett antal viktiga aspekter inom områden som ekonomi, innovation, marknad och tillväxt. Forskningen har kommit fram till slutsatser om samtliga undersökta företags potential att lyckas i Indien. I studien fann författarna att om man ska ha potential att lyckas på den Indiska marknaden, ska man bland annat ha en aktuell och effektiv produkt, stark ekonomi, konkurrenskraftighet samt marknadsmöjligheter. / India is an emerging market with many opportunities; it's a place for rethinking and frugal innovations. Frugal innovation is a phenomenon that India is well known for. Frugal innovations arise by thrift in the process of developing effective solutions. Knowledge about the frugal innovations and its approach linked to Swedish energy companies that is in the business of renewable energy is limited. Therefore, the innovation agency Vinnova and the Swedish Energy Agency (Energimyndigheten) are interested to see if there is potential for a number of Swedish energy companies to establish in the Indian market for renewable energy, where efficiency and economy are important. The survey was done by a qualitative research in the form of interviews with the companies that have been available and also an expert with knowledge of the Indian market. Theories were mainly collected from printed literature and scientific articles. During the study, the authors came up with a model that can be used to estimate a company's ability to establish itself in a foreign market. The model includes a number of important aspects, such as financial aspects, innovation, market and growth. The research has come to conclusions about all the studied companies potential to succeed in India. In the study, the authors found that if you're going to have the potential to succeed in the Indian market, you should have an up-to-date and effective product, strong economy, competitiveness and market opportunities.

The Economist (2010) defines frugal innovation as “instead of adding more bells and whistles, strip the products down to their bare essentials.” This definition is becoming an interesting phenomenon for academia and practitioners around the globe. This phenomena have changed the traditional ways of doing business in emerging economies and by 2025, almost 50% of the global organizations will have shifted their focus toward emerging economies because of their lucrative growth potential (Dobbs et al., 2013). The bottom of the pyramid (BOP) is an unexploited market that constitutes more than four billion people living their lives on less than 2 US dollars per day (Prahalad, 2004). Emerging economies have changed the traditional ways of doing business. Weyrauch and Herstatt (2016) identified three criteria for frugality: low cost, focus on core functionalities, and optimized performance level. For example, General Electric (GE), an American Conglomerate, invented a pocket sized ultrasound machine (Vscan) at the low cost of $15,000 that is battery operated, easy to use, and has a performance level, which meets the expectations of the proposed market. It was originally developed for China and other emerging economies; however, after a great success it was adopted by developed economies like the United States (Govindarajan and Trimble, 2012; Hossain et al., 2016). The main idea behind the development of frugal innovation is to cater to the needs of non-affluent customers in emerging economies who cannot afford expensive products (Soni and Krishnan, 2014; Govindarajan and Trimble 2012). Frugal innovations have been developing at three levels: first, MNC like General Electric, have research and development centers in emerging economies such as in India and China. They develop frugal products, for example, Vscan and Siemens fetal heart rate monitor. Second, local multinational organizations in emerging economies develop frugal products such as TATA Nano (the world’s cheapest car) and TATA Swach (a water purifier) by TATA, which is an Indian conglomerate. Third, grassroots entrepreneurs understand the local situation and even without proper education and knowledge often devise quick, smart and low cost solutions to local e.g. MittiCool (a clay made fridge) (Kumar & Puranam, 2012). A number of researchers in the field of frugal innovation have explored the differences and similarities between frugal innovation and other types of innovations (Weyrauch & Herststt, 2016; Zeschky, Winterhalter & Gassmann, 2014; Brem & Wolfram, 2014; Landrum, 2007). Some researchers are trying to identify the link between frugal innovation and sustainability (Kalogerakis, Fischer & Tiwari, 2016; Kahle et al., 2013; Rosca, Arnold & Bendul, 2016; Pansera & Sarkar, 2016). Moreover, other researchers are defining the significance of frugal innovation for multinational organizations in the competitive world (Tiwari & Herstatt, 2012; Anderson & Markides, 2007; Agarwal & Brem, 2012). Human capital is one of the strongest assets for the economic progress of a country. To make the most out of these valuable assets, countries need to invest in healthcare services (World Bank, 2017). Access to healthcare and wellbeing is a human right. Inequalities in healthcare continue to exist despite the progress that has been made worldwide in recent years to improve healthcare access and wellbeing (UN, 2015). Increase in health expenses is recognized as a serious worldwide concern that increases poverty (World Bank, 2017). Frugal innovations have the potential to offer simple and economical solutions to global healthcare challenges. Despite the potential of frugal innovation in healthcare, this context has rarely been studied. The objective of this dissertation is therefore to provide an in-depth analysis of the concept of frugal innovations in healthcare. With this aim, the first study provides a systematic review of frugal innovation in healthcare. Data for this study was collected using Google scholar, EBSCO, Cochrane library, Scopus, and Web of Science. “Frugal innovation in healthcare” and “frugal innovation and healthcare” were the two keywords used to search the data from the year 2006 until 2016. To conduct the analysis for the study, we used the Prisma review methodological approach (Moher, Liberati, Tetzlaff, Altman, & The Prisma Group, 2009). In total, 14 research articles were included in the study; these were based on the inclusion criteria of language and availability of the articles. The literature was categorized into two clusters: relationship of frugal innovation with sustainability and the importance of frugal innovation for multinational organizations. The study provides an exciting opportunity to advance our knowledge of frugal innovations in healthcare. In study 2, the patterns of frugal innovations in healthcare were examined by closely analyzing the 50 selected cases of frugal innovations in healthcare. Of the 50 selected innovations, various characteristics such as the country of origin, first launch market, type of innovator, type of innovation, type of care, and geographic diffusion were investigated. The finding shows that most of the frugal innovations in healthcare originated in the US (i.e., in the industrialized world). India is the most frequent first launch market for such innovations. Academia is the strongest driver with respect to different types of innovators. Frugal innovations place greater focus on neonatology and general practice, and most of the innovations are product innovations. Moreover, the study examines the relationship among these variables to obtain deeper insight. Together with various limitations, further research areas for frugal innovation include an adequate business model and successful factors responsible for the diffusion of frugal innovation. The study 3 aims to identify the factors that affect the diffusion of frugal innovation in healthcare in developing economies. Two frugal healthcare innovations were selected, including one product innovation and one process innovation (Jaipur Foot and Narayana Hurdayalaya Heart Hospital). Interviews from experts in the field of cardiology and orthopedics were conducted in Pakistan from January 2018 to March 2018. The study was exploratory; therefore, thematic qualitative text analysis was used for the analysis (Kuckartz, 2014). The results show that only 11% of the participants knew the term frugal innovation belonging to the orthopedics medical specialty. Sixty-eight percent of participants were using frugal products or techniques in their hospital, for example, locally made implants, low-cost medications and techniques, government -recommended products, refurbished machines, and locally made stents. The driving force behind using these frugal products and techniques lies in three factors: innovation characteristics and user preferences, patient satisfaction, and social system. A lack of awareness, political reasons and other reasons were the barriers for not adopting the above-mentioned frugal products and techniques in their hospitals. Innovation attributes and recommendations from hospital owners and administration as well as the government were the most important drivers for adopting these innovations. In addition, participants identified hospital administration, seniors and consultants, and government as important stakeholders that are responsible for implementing these particular innovations in hospitals. The study has various limitations and provides additional areas for future research.:Table of Contents 1. Introduction 8 2. Literature Review 18 2.1. Disruptive Innovation 19 2.2. Cost Innovation 20 2.3. Jugaad Innovation 20 2.4. Gandhian Innovation 20 2.5. Reverse Innovation 21 2.6. Frugal Innovation 21 2.7. Rogers’s Theory of Diffusion of Innovation 23 2.8. Diffusion of Innovation in Healthcare 26 2.9. Diffusion of Innovation in Developing and Emerging Economies 29 3. Methodology 35 4. Systematic Review 42 4.1. Sustainability 42 4.2. Capabilities of Organization for Frugal Innovation 47 5. Patterns of Frugal Innovation in Healthcare 56 5.1. Entrepreneur’s Country Of Origin And First Launch Market 56 5.2. Type of Innovator and Type of Innovation 57 5.3. Medical Specialty and Who Healthcare Categories 60 5.4. Geographic Diffusion 61 5.5. Type Of Innovator, Entrepreneur’s Country Of Origin, And First Launch Market 62 5.6. Type of Innovator and Innovation Characteristics 63 5.7. Type Of Innovator, Characteristics Of Innovation, and Geographic Diffusion 64 6. Frugal Innovations in Healthcare: Factors Affecting the Diffusion in Developing Economies (Part 1: Interview results) 66 6.1. Familiarity and Motivational Factors For Using Frugal Innovations 67 6.2. Communication Channels 79 6.3. Barriers and Drivers for the diffusion of specific frugal innovation 83 6.4. Role in Decision-Making 95 7. Frugal Innovations in Healthcare: Factors Affecting the Diffusion in Developing Economies (Part 2: Discussion) 101 7.1. Familiarity and Motivational Factors For Using Frugal Innovations 102 7.2. Communication Channels 106 7.3. Barriers and Drivers for the diffusion of specific frugal innovation 107 7.3.1. Barriers for Non-Adoption 108 7.3.2. Drivers for Adoption of Innovation 109 7.4. Role in Decision-Making 110 8. Conclusion 112 9. References 123 10. Appendix 1 (Questionnaire) 140 11. Appendix 2 (Descriptive of Study 3) 142 12. Selbständigkeitserklärung 143 13. Acknowledgment 144 14. CV 145

Abstract Title: Closing the gap between frugal and reverse innovation – Lessons learned from the case of the Tata Nano Authors: Martin Aschmoneit (martin.aschmoneit@gmail.com) Dijana Janevska (dijana.janevska@gmail.com) Supervisor: Malin Tillmar Date: May 27, 2013 Background: Emerging markets are growing and have become increasingly important for the global economy, while the growth of developed markets has slowed down. Emerging economies are the home of a new type of innovation that can help multinationals (both Western and local) to achieve further growth. Reverse innovation is a new approach that entails developing frugal products in emerging markets that are later introduced in advanced economies. Aim: To develop a framework of reverse innovation, and to use this framework to find critical issues necessary for the Tata Nano to enter developed economies. Hence, we develop our own definition and a model of reverse innovation that will be used in the analysis of the Nano, with a specific focus on: the search for reverse innovation features present in the case and the problems/obstacles in the reverse innovation process. Methodology: Qualitative approach using a single-case study based on predominantly secondary data. The case study of the Tata Nano was chosen due to its compatibility with our research aims. Completion and results: The case of the Tata Nano fulfills all but one of the requirements for a reverse innovation: the last step of the process or the transition of the innovation to a developed market. Several critical issues regarding the reversal process were identified and discussed. Keywords: reverse innovation, frugal innovation, emerging markets, multinational companies, Tata Nano.

Nos últimos anos, novos tipos de inovação surgiram nos mercados emergentes. Dentre eles, o conceito de inovação frugal vem chamando atenção de acadêmicos e profissionais por sua proposta de valor. A inovação frugal vem sendo considerada uma nova fonte de inovações, porém poucos trabalhos acadêmicos discutem o assunto de forma robusta. Esta pesquisa tem como objetivo principal averiguar a associação entre determinadas capacidades organizações que auxiliam no desenvolvimento da inovação frugal. Antes dessa associação, foi necessário demostrar como o conceito de inovação frugal pode ser mensurado. Neste estudo a inovação frugal é um construto endógeno de segunda ordem que manifesta o novo por menos medido reflexivamente, pela: inovação em custo, inovação sustentável, inovação aberta e inovação em produto. As capacidades organizacionais, são os construtos exógenos definidas em termos de: capacidade de produção, capacidade tecnológica, capacidade de capital humano e capacidade de marketing. Alguma dessas capacidades, foram consideradas como sendo de primeira e segunda ordem. Com o intuito de verificar a relação entre os construtos definidos, os procedimentos metodológicos adotados nesta pesquisa podem ser classificados como do tipo formal, descritivo e associativo, positivista e de natureza quantitativa. Para coleta dos dados, método de pesquisa adotado foi o survey classificado como interseccional. A amostra coletada é composta por 257 empresas brasileiras de diferentes setores e tamanhos. O processo de análise da amostra e consistência dos dados coletados consistiu do uso de técnicas estatísticas de análise univariada e multivariada. O uso de Análise de Equações Estruturais pelo método dos mínimos quadrados parciais (Partial Least Square - PLS) mostrou-se mais adequada para estimação dos parâmetros do modelo. Os resultados empíricos demonstraram que inovação frugal é uma estratégia que combina eficiência em custos e inovação. A inovação frugal pode contribuir para uma gestão mais adequada dos recursos ambientais não renováveis quando orientada para sustentabilidade. A análise dos resultados, demonstrou que das oito hipóteses levantadas, apenas duas hipóteses não foram suportadas. As capacidades de capital humano e marketing de primeira ordem não foram associadas a formação da inovação frugal. As demais capacidades utilizadas na pesquisa se mostraram associadas ao modelo proposto. / In recent years, new types of innovation have emerged in emerging markets. Among them, the concept of frugal innovation has attracted the attention of academics and professionals for its value proposition. Frugal innovation has been considered a new source of innovation, but few scholarly papers discuss the subject in a robust way. This research aims to ascertain the association between certain organizational capabilities that help in the development of the frugal innovation. Prior to this association, it was necessary to demonstrate how the concept of frugal innovation can be measured. In this study, frugal innovation is an endogenous construct of the second order, which manifests the new with fewer resources, reflexively measured by: innovation in cost, sustainable innovation, open innovation and product innovation. Organizational capabilities are the exogenous constructs defined in terms of: production capability, technological capability, human capital capability and marketing capability. These capabilities were considered to be first and second order. To verify the relationship between the defined constructs, the methodological procedures adopted in this research can be classified as formal, descriptive and associative, positivistic and quantitative in nature. For the data collection, the survey method adopted was the survey classified as intersectional. The data were collected is composed of 257 Brazilian companies of different sectors and sizes. The process of sample analysis and consistency of data collected consisted of the use of statistical techniques of univariate and multivariate analysis. The use of Structural Equation Analysis using the Partial Least Square (PLS) method was more adequate for estimation of model parameters. The results have shown that frugal innovation is a strategy that combines cost efficiency and innovation. Frugal innovation can contribute to a better management of non-renewable environmental resources when oriented towards sustainability. The analysis of the results, showed that of the eight hypotheses raised, only two hypotheses were not supported. Human capital and first-order marketing capabilities were not associated with the formation of frugal innovation. The other capabilities used in the research were shown to be associated to the proposed model.

Submitted by Nadir Basilio (nadirsb@uninove.br) on 2017-04-05T19:21:13Z No. of bitstreams: 1 Marcos Rogerio Mazieri.pdf: 6159434 bytes, checksum: 3633a0169bccd42f89d3337015eb9f0e (MD5) / Made available in DSpace on 2017-04-05T19:21:13Z (GMT). No. of bitstreams: 1 Marcos Rogerio Mazieri.pdf: 6159434 bytes, checksum: 3633a0169bccd42f89d3337015eb9f0e (MD5) Previous issue date: 2016-12-02 / This current research contributes to the studies on innovation, by investigating one of its possible faces: the innovations that are develop with almost no resources, called, frugal innovation. The current research brings together conceptual, theoretical and practical aspects of Frugal Innovation, seeking to obtain enough elements to systematize the discussion of the use of patents in this context. From a management point of view, observing the conceptual, theoretical and practical aspects of Frugal Innovation carried out in environments of intense restrictions, whether natural or financial resources, seems to facilitate reflection on the use of resources, as discovered in this research. These discoveries also favor the construction of more effective structured innovation processes. These processes can contribute as a structuring guideline for the construction of new business models, processes, products, services, organizational arrangements and marketing methods. It is possible, for example, to enter companies in emerging and underdeveloped countries or, on the other hand, the valorization of products developed by modest communities or the improvement of living conditions in regions with severe resource constraints. Therefore, research encompasses intrinsic social responsibility. Using mixed methods, especially qualitative for the inductive interpretation of results, quantitative analysis and text mining techniques to carry out the multivariate analysis of the texts segments that form the patent abstracts, eleven propositions were discussing and corroborated. In addition to the methodological contributions, such as the full text analysis, it was concluding that Frugal Innovation is not a type of innovation but a response to an observable restrictive context and, therefore, can coexist with incremental, architectural, modular and radical innovations. The theoretical contributions go beyond the definition of Frugal Innovation, including the definition of semantic classes in patent contexts, demonstrating that patents can contribute to Frugal Innovation and offer some directions on how to make this contribution (Patents-Frugal Innovation) more effective. / Essa atual pesquisa contribui com os estudos sobre a inovação, por investigar uma de suas possíveis faces: as inovações que são desenvolvidas quase sem recursos, denominadas, inovação frugal. A pesquisa atual reúne aspectos conceituais, teóricos e práticos da Inovação Frugal, buscando obter elementos suficientes para sistematizar a discussão do uso das patentes nesse contexto. Do ponto de vista gerencial, observar a face conceitual, teórica e prática da Inovação Frugal realizada em ambientes de grandes restrições, sejam de recursos naturais ou financeiros, parece facilitar a reflexão sobre o uso de recursos, conforme descoberto nessa pesquisa. Tais descobertas favorecem ainda a construção de processos de Inovação estruturada mais eficazes que podem contribuir como diretriz estruturante para a construção de novos modelos de negócios, processos, produtos, serviços, arranjos organizacionais e métodos de marketing, possibilitando, por exemplo, a entrada de empresas em países emergentes e subdesenvolvidos ou por outro lado, a valorização de produtos desenvolvidos por comunidades modestas ou a melhoria das condições de vida de regiões com restrições severas de recursos. A pesquisa abarca, portanto, resposanbilidade social intrínseca. Usando métodos mistos, especialmente qualitativos para a interpretação indutiva dos resultados, análise quantitativa e técnicas de text mining para realizar a análise multivariada dos segmentos de textos que formam os abstracts das patentes, onze proposições foram discutidas e corroboradas. Além das contribuições metodológicas, como a análise de full text, concluiu-se que a Inovação Frugal não é um tipo de inovação e sim uma resposta a um contexto restritivo observável e que, portanto, pode coexistir com inovações incrementais, arquiteturais, modulares e radicais. As contribuições teóricas avançam além da definição da Inovação Frugal, incluindo a definição das classes semânticas em contextos de patentes, demonstrando que as patentes podem contribuir com a Inovação Frugal e oferecendo algumas direções de como fazer essa contribuição (Patentes-Inovação Frugal) mais efetiva.

Nos últimos anos, novos tipos de inovação surgiram nos mercados emergentes. Dentre eles, o conceito de inovação frugal vem chamando atenção de acadêmicos e profissionais por sua proposta de valor. A inovação frugal vem sendo considerada uma nova fonte de inovações, porém poucos trabalhos acadêmicos discutem o assunto de forma robusta. Esta pesquisa tem como objetivo principal averiguar a associação entre determinadas capacidades organizações que auxiliam no desenvolvimento da inovação frugal. Antes dessa associação, foi necessário demostrar como o conceito de inovação frugal pode ser mensurado. Neste estudo a inovação frugal é um construto endógeno de segunda ordem que manifesta o novo por menos medido reflexivamente, pela: inovação em custo, inovação sustentável, inovação aberta e inovação em produto. As capacidades organizacionais, são os construtos exógenos definidas em termos de: capacidade de produção, capacidade tecnológica, capacidade de capital humano e capacidade de marketing. Alguma dessas capacidades, foram consideradas como sendo de primeira e segunda ordem. Com o intuito de verificar a relação entre os construtos definidos, os procedimentos metodológicos adotados nesta pesquisa podem ser classificados como do tipo formal, descritivo e associativo, positivista e de natureza quantitativa. Para coleta dos dados, método de pesquisa adotado foi o survey classificado como interseccional. A amostra coletada é composta por 257 empresas brasileiras de diferentes setores e tamanhos. O processo de análise da amostra e consistência dos dados coletados consistiu do uso de técnicas estatísticas de análise univariada e multivariada. O uso de Análise de Equações Estruturais pelo método dos mínimos quadrados parciais (Partial Least Square - PLS) mostrou-se mais adequada para estimação dos parâmetros do modelo. Os resultados empíricos demonstraram que inovação frugal é uma estratégia que combina eficiência em custos e inovação. A inovação frugal pode contribuir para uma gestão mais adequada dos recursos ambientais não renováveis quando orientada para sustentabilidade. A análise dos resultados, demonstrou que das oito hipóteses levantadas, apenas duas hipóteses não foram suportadas. As capacidades de capital humano e marketing de primeira ordem não foram associadas a formação da inovação frugal. As demais capacidades utilizadas na pesquisa se mostraram associadas ao modelo proposto. / In recent years, new types of innovation have emerged in emerging markets. Among them, the concept of frugal innovation has attracted the attention of academics and professionals for its value proposition. Frugal innovation has been considered a new source of innovation, but few scholarly papers discuss the subject in a robust way. This research aims to ascertain the association between certain organizational capabilities that help in the development of the frugal innovation. Prior to this association, it was necessary to demonstrate how the concept of frugal innovation can be measured. In this study, frugal innovation is an endogenous construct of the second order, which manifests the new with fewer resources, reflexively measured by: innovation in cost, sustainable innovation, open innovation and product innovation. Organizational capabilities are the exogenous constructs defined in terms of: production capability, technological capability, human capital capability and marketing capability. These capabilities were considered to be first and second order. To verify the relationship between the defined constructs, the methodological procedures adopted in this research can be classified as formal, descriptive and associative, positivistic and quantitative in nature. For the data collection, the survey method adopted was the survey classified as intersectional. The data were collected is composed of 257 Brazilian companies of different sectors and sizes. The process of sample analysis and consistency of data collected consisted of the use of statistical techniques of univariate and multivariate analysis. The use of Structural Equation Analysis using the Partial Least Square (PLS) method was more adequate for estimation of model parameters. The results have shown that frugal innovation is a strategy that combines cost efficiency and innovation. Frugal innovation can contribute to a better management of non-renewable environmental resources when oriented towards sustainability. The analysis of the results, showed that of the eight hypotheses raised, only two hypotheses were not supported. Human capital and first-order marketing capabilities were not associated with the formation of frugal innovation. The other capabilities used in the research were shown to be associated to the proposed model.

Inclusive Innovation (II) and Frugal Innovation (FI) have been trending concepts in the theoretical field as organizations put more focus on sustainability, equality, and inclusion in their strategies and cultures. However, the discourse among researchers in the domain has been deeply focused on the conceptualization of the ideas, leaving the practical implications aside. In this paper, we aim to understand how companies develop inclusive and frugal innovations, together with identifying key success factors along the way. For this, we assembled an analytical framework based on literature review, with the aim of applying the theoretical tools into three practical case studies. In these, the level of innovation, degree of frugality, and design problems are examined for each of the presented companies, and later compared in a cross-case analysis. The results ofthe paper show that the context and affordability of the products are essential in ensuring a high degree of inclusion of the solutions developed specifically for the low income end users.

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No. of bitstreams: 1 pmdgi - dennys eduardo rosseto.pdf: 3115617 bytes, checksum: 0ec6576303ae5b79113054ce0a87be46 (MD5) Previous issue date: 2018-02-22 / In both the academy and the press, Frugal Innovation has gained more space and attention from researchers and managers, mainly as an alternative to competitiveness in times of crisis and increasingly scarce resources. Despite the growing number of published articles on frugal innovation, there is still a lack of tools that allow mediation and quantification of this phenomenon to allow more precise and quantifiable studies to be carried out. In addition, due to the broad concepts of Frugal Innovation still in the process of consolidation, it would be very useful for managers and entrepreneurs an instrument that allows identifying and guiding companies that want guidelines for the development of frugal offers, besides constituting a significant theoretical contribution . In this thesis, we propose a scale to identify and measure frugal innovation, presenting the results of five data collection in three different countries (Brazil, USA and India), with the whole development process, the refinement of items through an Exploratory EFA), Confirmation Factor Analysis (CFA) and final validation of the scale based on the company's 1130 data. A broad review of the literature is presented with the retrieval of the main published articles, as well as an analysis of the dimensionality of the construction, all the definitions found in the literature. In addition, an improvement in the definition of frugal innovation is proposed through the creation of a frugal ecosystem. All procedures follow the steps based on the Churchill paradigm (Churchill 1979) which was updated by Mackenzie, Podsakoff and Podsakoff (2011). In the first stage, 66 items were generated based on a broad literature review. Content validation was performed through personal interviews with 12 experts (academics and managers), resulting in 20 items retained. Afterwards, the face validation was performed with 22 managers aiming to improve the clarity and understanding of the items, resulting in 12 items retained. With the 12 items, a survey was performed composed of 191 Brazilian companies, where a Factorial Exploratory Analysis (EFA) was carried out as a first purification process, in which all the statistical indices were adjusted. As a result three dimensions were obtained (1) Focus on core functionality and performance; (2) Substantial cost reduction; and (3) Creation of a Frugal Ecosystem, all composed of 9 items, three items in each dimension. A second round of research was conducted with 247 Brazilian companies, and with these data a Confirmation Factor Analysis (CFA) and internal consistency verification were performed, where all adjustments were obtained again. The questionnaire was subjected to subsequent translation procedures to reach the validity of the translation and then two more surveys were conducted with 250 American companies and 300 Indian companies for final validation purposes. As a result, other validations were obtained, such as convergent viability, discriminant validity, reliability verification and nomological validity (through the application of other scales). The scale was applied to Indian companies in order to obtain results from another emerging country. Contributing to the discussion about frugal innovation is not only appropriate for emerging countries or is also a phenomenon that may occur in developed countries, this scale has also been applied with US companies. With this scale validated, this study contributes to other researches, allowing results from other countries, developed or in the process of development, for comparative research and for a better understanding of the relationships of Frugal innovation with other phenomena. / Tanto na academia quanto na imprensa, a Frugal Innovation ganhou mais espaço e atenção de pesquisadores e gerentes, principalmente por se mostrar como uma alternativa para a competitividade em tempos de crise e recursos cada vez mais escassos. Apesar do número crescente de artigos publicados sobre a inovação frugal, ainda há uma falta de instrumentos que permitem mediação e quantificação deste fenômeno para permitir a realização de estudos mais precisos e quantificáveis. Além disso, devido aos amplos conceitos de Inovação Frugal ainda no processo de consolidação, seria muito útil para gestores e empresários um instrumento que permita identificar e orientar as empresas que desejam orientações para o desenvolvimento de ofertas frugais, além de constituir um teor teórico significativo contribuição. Nesta tese, propomos uma escala para identificar e medir a inovação frugal, apresentando os resultados de cinco coleta de dados em três países diferentes (Brasil, EUA e Índia), com todo o processo de desenvolvimento, o refinamento dos itens através de um Exploratório (EFA), Análise de Fator de Confirmação (CFA) e validação final da escala com base nos 1130 dados da empresa. Uma ampla revisão da literatura é apresentada com o resgate dos principais artigos publicados, bem como uma análise da dimensionalidade da construção, todas as definições encontradas na literatura. Além disso, uma melhoria na definição de inovação frugal é proposta através da criação de um ecossistema frugal. Todos os procedimentos seguem as etapas baseadas no paradigma de Churchill (Churchill 1979) que foi atualizado por Mackenzie, Podsakoff e Podsakoff (2011). No primeiro estágio foram gerados 66 itens com base em uma ampla revisão da literatura. A validação do conteúdo foi realizada através de entrevistas pessoais com 12 especialistas (acadêmicos e gerentes), resultando em 20 itens retidos. Na sequência, a validação do rosto foi realizada com 22 gestores visando melhorar a clareza e a compreensão dos itens, resultando em 12 itens retidos. Com os 12 itens, uma pesquisa foi realizada composta por 191 empresas brasileiras, onde se realizou uma Análise Exploratória Factorial (EFA) como um primeiro processo de purificação, no qual foi obtido o ajuste de todos os índices estatísticos. Como resultado foram obtidas três dimensões (1) Foco na funcionalidade e desempenho do núcleo; (2) Redução substancial de custos; e (3) Criação de um Ecossistema Frugal, todos compostos por 9 itens, três itens em cada dimensão. Uma segunda rodada de pesquisa foi realizada com 247 empresas brasileiras, e com esses dados foi realizada uma Análise de fator de Confirmação (CFA) e verificação de consistência interna, onde todos os ajustes foram obtidos novamente. O questionário foi submetido a procedimentos de tradução posterior para alcançar a validade da tradução e, em seguida, realizaram-se mais duas pesquisas, com 250 empresas americanas e com 300 empresas indianas para fins de validação final. Como resultado, foram obtidas outras validações, como a viabilidade convergente, a validade discriminante, a verificação da confiabilidade e a validade nomológica (através da aplicação de outras escalas). A escala foi aplicada às empresas indianas com o objetivo de obter resultados de outro país emergente. Contribuir para a discussão sobre a inovação frugal é ou não apropriado apenas para países emergentes ou, também, é um fenômeno que pode ocorrer em países desenvolvidos, essa escala também foi aplicada com empresas dos EUA. Com está escala valida, este estudo contribui para a realização de outras pesquisas, permitindo obter resultados de outros países, desenvolvidos ou em processo de desenvolvimento, para pesquisas comparativas e para uma melhor compreensão das relações da inovação Frugal com outros fenômenos.

Although researchers during the last 5 years have been doing a lot of study onemerging market innovations, and of which Frugal Innovation had its special place. They haveparticularly concentrated on this innovation type on how it re-emerged in the emergingcountries especially India and China and gave it new theoretical definition and a framework.Although this frugal innovation usage is constrained only to the firms located in those emergingmarkets and this innovation has not seen much application in the western smaller firms. In thisresearch our main idea is to develop a theoretical model on frugal innovation for the westernsmaller firms, where currently not much emphasis is given by the previous researchers in thiscontext. To achieve this we have been involved in an action research with a company lookingto enter an emerging market by using frugal innovation strategy for their product development.The output of this research is a theoretical framework model which is sequential and includesall the stages that a firm has to follow as part of a frugal innovation strategy having not muchknowledge of the emerging markets or its customers and who had to rely on external partnersin developing countries to successfully develop frugal innovations. We have also identifiedchallenges firms face in this context and listed out alternatives at each level of the strategy,finally concluded by listing out the future scope of research on frugal innovation in thisparticular area.