Frugal innovations offer high customer value (core functionality, durability, ease of use) as well as significantly reduced costs of ownership compared with standard products and services. The phenomenon of frugal innovations was initially observed in emerging economies and the scholarly discourse still largely focuses on this context. Now there is increasing evidence that frugal solutions are also diffusing in the economically developed nations. It is, however unclear, to what extent frugal innovations are relevant for industrial economies such as Germany in economic and socio-political contexts.
A good news: Center for Frugal Innovation (CFI) of the Hamburg University of Technology (Technische Universität Hamburg-Harburg; TUHH) has entered into a cooperation agreement with the Frugal Innovation Lab (FIL) of the Santa Clara University (SCU) in California, USA. The two parent institutions, i.e. SCU and TUHH recently signed a Memorandum of Understanding (MoU) for “Collaboration in the Area of Frugal Innovation”.