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CATALAN, Jonalyn Q.
BSA 1- BLOCK A
ENTREPRENEURIAL MIND (MTWTHF 1:00-3:00PM)

            Incongruities: This comes from a difference between what a product/service actually is and what
everybody else assumes it to be. When the need is incongruent with the supply, innovation might be born.
In an attempt to resolve the existing incongruities people might innovate. Incongruity is a symptom of
change, it may already happen or it will just happen. Also, it is a symptom of the opportunity to innovate.
In order to lead us to a resolution or cure to fill the gap in the industry through innovation, we must study
its symptoms.

         Incongruity is the changes that are happening inside of an Industry, market, or process. These
changes are often overlooked by the people inside the industry. They didn’t notice the changes that are
happening inside the industry that may result in incongruity. Just like in the sources of the unexpected the
management that has poor or weak management tends to neglect those opportunities as they say that “this
is the way it’s always been” so the opportunity to innovate were neglected. In order to exploit
opportunity, entrepreneurs must think beyond their traditional approach or think outside the box.

         For example, Alcon Laboratories was one of the success stories of the 1960s because Bill Conner,
the company’s cofounder, exploited an incongruity in medical technology. The cataract operation is the
world’s third or fourth most common surgical procedure. During the past 300 years, doctors systematized
it to the point that the only “old-fashioned” step left was the cutting of a ligament. Eye surgeons had
learned to cut the ligament with complete success, but it was so different a procedure from the rest of the
operation, and so incompatible with it, that they often dreaded it. It was incongruous.

Doctors had known for 50 years about an enzyme that could dissolve the ligament without cutting. All
Conner did was to add a preservative to this enzyme that gave it a few months’ shelf life. Eye surgeons
immediately accepted the new compound, and Alcon found itself with a worldwide monopoly. Fifteen
years later, Nestlé bought the company for a fancy price.

         Incongruity is a symptom of opportunity that affects the entrepreneurial activity of an industry.
As Drucker states, it creates instability in which those minor efforts can move a large mass and bring
about reorganization of a company in which they want to achieve greater efficiency and profit, or adapt to
changing markets. Demographic trends such as technological and socio-cultural change affects the
competitive landscape, and because of this it is continually bombarding the people with the use of new
information that causes changes in terms of values of customers and businesses. Because of the
contextual changes, the market has incongruity that creates opportunity to innovate.
        
Moreover, opportunities can be usefully conceptualised as unique and valuable problem-solution.
In solving that problem, it can reduce the gaps that represent incongruity.

         For example, as the population of cars grew there was a shortage of parking areas. In an attempt
to solve the incongruity between parking areas and parking shortages, the smart car was born. Smart car is
a small car that can fit in small spaces. Incongruities can be an important source of innovation. It is
basically in human nature to try to fill the incongruities he sees around him. 
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CATALAN, Jonalyn Q.
BSA 1- BLOCK A
ENTREPRENEURIAL MIND (MTWTHF 1:00-3:00PM)
Incongruity between perceived and actual customer values and expectations

         We are having an incongruity between values and expectations of the customer and producers or
suppliers because of the misconception between them. Also, because of intellectual arrogance which
means people think that they are superior in terms of intellect or knowledge. By this, they did not notice
the gap between values and expectations of customers and them. Intellectual rigor is about engaging in
exploring some new ideas, theories and philosophies that can make some distinctions. And we are having
an incongruity between values and expectation because the industry itself does not consider the opinions
of others.

         Numerous examples exist of people taking advantage of this incongruity, with a successful
innovation such as by the Edward Jones Company, a financial service firm, exploiting the misperceptions
of larger Wall Street firms relative to customer values. Jones identified a market segment, farmers and
people about to retire as having a desire for secure investment before their retirement vs. the frequent
trader of stocks that Wall Street firms focused on. Not all want to trade, others just want to secure or
preserve their wealth and that’s what the Jones Company offered. They listen to the opinions of others
and consider the needs and wants of its customers.  As a result, it has become one of the largest financial
services firms in the U.S. What customer values and expectations of consumers are not being met by
existing suppliers? How does one find incongruities? Listen for customer complaints. These indicate that
what the supplier or producer values is different from what the consumer values. They indicate an
opportunity for an innovation that is specific and has a good chance of success.

         Another example of an incongruity between perceived expectations and actual customer
expectations could be when many companies were trying to create smaller MP3 players with more
functionality and more storage. People were not necessarily after the increased specification of MP3
player products though. Apple realized that the actual customer expectation was a means for them to be
able to legally purchase, collect and organise their music and play on a device that was simple to use. So
they revolutionized the industry with iTunes and the iPod.