Polaroid Rip

Polaroid for three decades was the most innovative first instant camera ever made. It was a new horizon to digital production it captured and created value to every customer that purchased any of the product produced by Polaroid.

Polaroid had the magical instant ability to produce a picture taken in seconds which no other camera could perform. For most of the three decades, Polaroid created value like no other competitors, until the 70's. Prior before then, Edwin Land the founder of Polaroid recognize the best way, to create and capture value for his company "which was" the cornerstone for the success of Polaroid.

Land with Polaroid had the opportunity to create value, he ventured into a place where now other competitors had ever been, he discovered a better way for consumers to instantly take and receive their picture from the same machine. Brickley, Smith and Zimmerman (2009), "creating value is an essential first step in generating profit."(p252).

Most entrepreneurial companies like Polaroid the, innovativeness and creativeness, lies mostly with the owner or founder of the business. Edwin Land created model 95 and later introduced the SX-70 which the benefits exceeded the cost to consumers, because there was none like them available to purchase by consumers in the market. These also applied to some part of the production i.e. the quality, quantity, innovation and there was no entry barrier to hinder production, and the employees were proud to be part of history and there was assurance of job safety.

The selling price of the cameras determined the amount of value that was "captured" by the company which contributed to the firm's profits. (Producer Surplus). Despite the price, difference between what the costumers would have been willing to pay for the camera and the price is the (Consumer Surplus), due to this innovative, Polaroid was able to create and capture value in terms of profit at that point in time (three decades).

However, with the inception of more modern technology, Edwin Land innovation was lacking the cutting edge it had in the past three decades. After the SX-70, most of all the other technology creation was a flop, which included Polavision which was a moving version of instant photography and did not stand a chance with the inception of video technology. Polaroid's competitors like Fuji, who also made instant pictures. Fuji was able to envision the modern technology inception and diversified and adopted the new era of digital imaging that provided an alternative to instantaneous photograph. In this aspect Polaroid failed to capture value, but Fuji did by turning a new leaf and adopting the new digital technology and created and captured new values.

There are two important points to be taken from the unfortunate circumstances that Polaroid found itself; first for a company to be successful it needs to develop and design