Can Prediction Markets Forecast Successful Innovations?
Using prediction markets to forecast the success of innovation ideas is more effective than traditional suggestion schemes that rely on voting. Prediction markets engage employees through gamification, where they purchase shares in ideas they believe will succeed. Companies like Exago have seen increased employee engagement and inter-department cooperation using prediction markets. It is important to validate ideas before asking employees to invest and quantify the opportunity based on projected markets, revenues, risks, and next steps.
