MANAGEMENT OF TECHNOLOGY

WEEK 14
ASSIGNMENT

Bianca Ardila Fahrani - 19018200

Faiza Nurkholida - 19018034
Erik Rizki R. - 19018138
Zxavian Zebadia S. - 19018100

School of Business Management

Bandung Institute of Technology
2021
Case Assignment - Pizza Delivery with Unmanned Drones

1. In this case, the technology would seem to be stable and its costs falling rapidly.
Where, then, are the difficulties of launching the product?

Picture 1.1 Drones Toy Example

In terms of difficulties of launching the product, the difficulties that would occur are the
Expensive customer delivery cost and Safety issues & Privacy. Even though the costs of
building the drones can be cheaper than the cost of hiring people to deliver the product,
the cost of delivering for the customer to bear is even higher than the usual cost.
Customers must pay for higher delivering cost due to the fuel cost of drones. Because of
that, the customer’s delivering cost is one of the difficulties of launching the product.

Picture 1.2 Drones with Children Example

 Resistance to the technology may continue to come from a fearful public concerned about
privacy loss. Politicians may gain popularity if they successfully portray drones as a
"enemy of privacy." They may attempt to conjure up an Orwellian nightmare in order to
garner support. It's easy to envision some unethical drone applications, such as neighbors
spying on one another. There are also safety concerns with using drones as delivery
vehicles: drones are still relatively inept at avoiding collisions with obstacles such as
power lines, birds, and other drones through the use of 'sense and avoid' technology.

2. Two separate product technologies seem to be converging: military unmanned

aircraft and remote controlled toy drones. What opportunities does this generate?

In terms of the converging of the two products, between military unmanned aircraft and
remote controlled toy drones, we must first understand the definition of both products.
Military unmanned aircraft or familiarly called Unmanned aerial vehicle (UAV) is a
military aircraft that is guided autonomously, remotely, or both and carries sensors, target
designators, offensive ordnance, or electronic transmitters to disrupt or kill enemy targets.
Without the need for a crew, life-support systems, or the design-safety criteria of manned
aircraft, UAVs can be incredibly effective, with far greater range and endurance than
comparable manned systems.

Picture 2.1 M9 Predator UAV example

The remote-controlled toy drones, on the other hand, are known as quadcopters. A
quadcopter, also known as a quadrotor, is a helicopter with four rotors. Despite the fact
that quadrotor helicopters have long been flown experimentally, the configuration
remained a mystery until the modern UAV or drone arrived. Drones' small size and low
inertia make for a very simple flight control system, which has greatly improved the
small quadrotor's usefulness in this application. Because of that, the quadcopter can be
seen in public and used by end customers for their entertainment purposes.

Picture 2.2 S137 Pro Drone Quadcopter

As stated in the case, with the military unmanned aircraft as well as remote controlled toy
drones that seem to be converging, there are some opportunities that can be applied into
the new innovation. Drones with even a small capacity to navigate the world on their own
will be a big step closer to being used for tasks like search and rescue, industrial
inspection, and hazardous area surveillance. And, since they will be inexpensive, their
consumers will undoubtedly come up with a variety of other uses for them, both
beneficial and undesirable. Drones are best known for their use in the Afghan war, where
they are used to both track and attack enemy forces. Drones appeal to domestic users
because they can hold sensors instead of weapons, such as cameras and spectrometers.
This means that they may be useful in industry, science, and law enforcement. A number
 of them work for police forces, which has raised safety concerns and sparked complaints
from local residents.

3. Apply the cyclic innovation model to the case to illustrate the entrepreneurs and
technology development.

Picture 3.1 People Using Toy Drones

The company, in this case, drone manufacturers, attempt to analyze the market's needs
and desires regarding the technology. As the manufacturer learns about the consumer's
needs, they will begin to conduct technological analysis and scientific experimentation in
order to incorporate product innovation for the market. They make an effort to distinguish
the resources available to consumers, such as search and rescue missions, as well as
connectivity and transportation operations. By doing so, they will be able to observe the
social and behavioral patterns of their consumers in relation to the goods that they will be
launching, in this case, drones. Furthermore, as consumers become used to the products,
they will develop a sense of value for the products, prompting them to use them more
often and allowing the company to thrive for several years as more and more customers
flock to it. Finally, as consumers become used to the products, it means that they are
already well-versed in the technological capabilities and functions associated with the
 products. This suggests that the manufacturer / company was effective in their approach
to the goods in order to satisfy customers.

4. Describe how the national innovation system in Mexico may hinder the chances of
firms succeeding.

Picture 4.1 Mexico City

Most new technologies enter the market with a price premium; drones are no exception.
This is partly because firms have to recoup initial investments so that they can re-invest
in faster and larger factories, which will, eventually, help to lower costs. When Mexico
set up the first maquiladoras half a century ago, they were sweatshops that simply bolted
or stitched together imported parts, then exported the assembled product north across the
border to the United States. The USA secured cheap goods; Mexico got jobs and export
revenues. Now, with competition growing from other low-cost locations, and with the
government cutting some of their tax breaks, the maquiladoras are having to step up their
efforts to become innovative.
5. Specify precisely how the Mexican maquiladoras can provide US manufacturers
with a way of competing with Chinese

Over the years, the maquiladoras have already lost much basic work, such as stitching
together fabrics, to cheaper places in Asia, like Bangladesh. But, more recently, rising
pay in Chinese factories has made Mexico look an attractive location once more. Indeed,
this picture below shows the narrowing of wage rates in China and Mexico. The
minimum wage in Shanghai and Qingdao is now higher than in Mexico City and
Monterrey.

Picture 5.1 The Narrowing of Wage Rates in China and Mexico

6. This case illustrates the influence of regulation on innovation. Show how tight and
loose regulation may help and hinder innovation.
 Picture 6.1 Government Making Regulation Example

Regulation in a country can have a big influence on innovation in several ways. This
could have a huge impact for the product to succeed or fail. Current regulation in a
country to operate tight business, there will be benefits as well as consequences at the
same time. The benefits can be There will be fewer rivals and competitors because not
every certain regulation businesses can reach out and apply it in their business. In fact, on
the other hand, if the regulation is tight, it will make growth and innovation a difficult
part of the business to thrive. Mostly because businesses must follow all the regulations
that sometimes prevent products from growing efficiently and actively. The product will
freeze at a certain level and never reach the next step innovation. Conversely, if the
regulations were lax, there would be so many businesses in the market the government
cannot control it easily. When they try to loosen regulation, it will cause them to lose
income tax from the business aspect. That's because there will be more business than ever
who can control who can operate illegally and will not provide revenue to the
government. Another thing is that competitors and rivals will be too many and also make
it difficult for the business to grow and develop. Because there are too many businesses
in one place, its growth and innovation will be difficult and difficult. It's hard to achieve
because when one business makes some changes and innovations, another business will
also do the same. It keeps everyone stuck on the same level.
7. Discuss why the right to privacy may yet prevent this technology from getting off
the ground.

Picture 7.1 Drones in City

Because the privacy of a person or an institution is very important to be kept secret, even
though the government tries to implement more regulations, sometimes it does not make
business to get started with their product. When Drone deliveries are in flight, they’ll
likely be recording photos or video as they fly overhead. These regular camera images
and infrared cameras, like the ones built into the Amazon delivery drones, allow the
drone to get a view of its surroundings. Because there are still lots of things to be
concerned for, Aa fearful public worried about privacy loss may still be a source of
resistance to the technology and that is what makes the right to privacy prevent this
technology from getting off the ground. Drone technology is an important part of life so it
would be hard to get rid of it. Especially for security and privacy. The reason is the use of
drones should be stopped. However, businesses think the drones are very good and
helpful in transactions, therefore drones will still be used in open society. Even when
Drones can take the privacy of many people, businesses will not care as long as their
business keeps on walking.
References

Encyclopedia Britannica. 2021. unmanned aerial vehicle | Definition, History, Types, & Facts.
[online] Available at: <https://www.britannica.com/technology/unmanned-aerial-vehicle>
[Accessed 19 April 2021].

Hoffmann, G., Rajnarayan, D., Waslander, S., Dostal, D., Jang, J. and Tomlin, C., n.d. The
Stanford testbed of autonomous rotorcraft for multi agent control (STARMAC). The 23rd Digital
Avionics Systems Conference (IEEE Cat. No.04CH37576).

Hoffmann, G., Huang, H., Waslander, S.L. and Tomlin, C.J. 2007. "Quadrotor Helicopter Flight
Dynamics and Control: Theory and Experiment" (PDF). In the Conference of the American
Institute of Aeronautics and Astronautics. Hilton Head, South Carolina. Archived from the
original (PDF) [Accessed 19 April 2021].