Chesbrough has used the term open innovation to bring the impression of achieving corporate functionality and increased levels of profits from the use of technological advancement. According to him, closed innovation which was used traditionally involved the concept of limiting marketing of the new corporate products and consequent developments in the business within the internal frontiers of the business. However, the current motive of the open innovation can perhaps been described as the imagery which would create high levels of business success in the marketing process.
Open innovation may primarily be defined as the process through which both the external and the internal ideas within the corporation are combined together with their success paths in advancing the probable development of new technologies in the organization (Chesbrough, 2003). Through open innovation therefore, corporations have invented and developed new models of corporate effectiveness and efficiency which can therefore increase the marketing process of the corporate products.
The process of open information seeks to incorporate all the necessary facilities and recourses both within and outside the corporation that would enable in creating corporate efficiency in the persuasive process of interaction within the market (Austin, 2004). Since the success of the marketing involves the adequacy in role play by key players and stakeholders within the market environment, open innovation is therefore the consequential tool that is used to create models of alignment with the most strategic precepts that help to create corporate functionality.
It therefore incorporates the process of evaluating the substantial resources for developing new technology and products that will help the organization to pursue well in the highly competitive market. The implied essence in this process is to create high levels of effectiveness and cost efficiency methods of corporate functionality which would give drivers towards positive change of the organization (Felix, 2005).