An example that he gave was that of a CD player.  When the product first came to market, it was a true innovation.  There was not a product like it, and it was an improvement on the audio experience above and beyond its predecessors.  On the other hand, a product like the Bang & Olufson CD player was innovative in its approach to aesthetics and interaction, but was not a true innovation.  This differentiation is something that could be utilzed in a product development plan.  By categorizing product initiatives as something that is innovative or an innovation will help to determine the scale of resources as well as a time line for completion.  An innovative product can be put in the pipeline for short or near term realizations, while an innovation might be a long term (or open ended) time line.  Fitch’s approach is to utilze this differentiation throughout it’s business practice.