1. Business

What is Reverse Innovation?

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When most people think of innovation, they think of companies in developed countries coming up with new ideas and then selling them in developing countries. However, there's another type of innovation that's becoming increasingly common, and that's reverse innovation. In this blog post, we'll explore what reverse innovation is and some examples of companies that have used it to succeed.

Reverse innovation is when a company in a developing country comes up with a new product or service and then sells it in a developed country. One of the most famous examples of this is the Tata Nano, a car that was designed for Indian consumers and then sold in Europe. The Nano was much cheaper than other cars on the market, and it quickly gained popularity. Other examples of reverse innovation include LG appliances, which are designed for Asian markets but are also sold in the United States, and Xiaomi smartphones, which are designed for Chinese consumers but are also sold in India.

One reason why reverse innovation is becoming more common is because developing countries are often more open to trying new things than developed countries. They're also more willing to experiment and take risks. As a result, companies in developing countries often have an easier time coming up with new ideas and bringing them to market quickly. Another reason why reverse innovation is becoming more common is because developing countries are often growing faster than developed countries, so companies that want to tap into new markets are increasingly looking to them.


Reverse innovation is an important trend to keep an eye on because it's likely to become more common in the years ahead. By understanding what it is and why it's happening, you can be better prepared to take advantage of it.

Pravin Shah




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