Innovation and Growth

Lesson Overview

• Duration: 45 minutes
• Class size: 30 students
• Year group: 12 (16-17 years old)
• Subject: Business
• National Curriculum focus:
  • Business Strategies and Growth (KS5 Business curriculum)
  • Developing enterprise skills, innovation and strategic thinking (DfE KS5 Business content)
  • Application of digital technologies in business growth (linked to contemporary business context)

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Learning Objectives

By the end of this lesson, students will be able to:

1. Analyse key business growth strategies with a focus on innovation and digital transformation, referencing current market examples.
2. Evaluate the role of Artificial Intelligence (AI) and digital tools in scaling businesses rapidly.
3. Apply theoretical business growth frameworks to a real-life case study ("Lovable") to understand how innovation drives market expansion.
4. Discuss challenges and opportunities posed by technological disruption within business models.

National Curriculum References:

• National Curriculum KS5 Business: "Understand how businesses develop strategies for growth and expansion, including innovation and responding to market changes."
• Skills focus: Critical thinking, analysis, evaluation, and application of knowledge to contemporary business issues.

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Resources and Materials

• Whiteboard & markers
• Projector or screen for video clip presentation
• Handouts: Mini-case study summary of Lovable’s AI-driven growth strategy (prepared from the video content)
• Student individual devices/tablets for research (optional but recommended)

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Lesson Structure

1. Starter Activity (5 minutes)

• Pose an engaging question on the board:
  "How can businesses achieve rapid growth in today’s digital world?"
• Students discuss in pairs for 2 mins and share ideas with the whole class.
• Teacher summarises key points referencing innovation, digital tech, and AI.

Purpose: Activate prior knowledge and set the lesson context aligned with NC requirement to understand strategies for growth.

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2. Introduction and Context (10 minutes)

• Briefly introduce the business case of Lovable, a company that achieved $200M ARR within its first year through AI-powered growth (linked to "The new AI growth playbook for 2026").
• Present a short (3-4 minute) edited clip or overview highlighting:
  • Use of AI in product development, marketing automation, demand forecasting.
  • Data-driven customer insights driving innovation.
• Provide students with a one-page case summary handout.

Skills focus: Note taking, listening, comprehension; linking theory to practice.

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3. Core Activity – Group Analysis (15 minutes)

• Split class into six groups of five students.
• Each group completes a worksheet with the following tasks:
  1. Identify and list 3 types of growth strategies Lovable used (e.g., innovation, digitalisation, customer focus).
  2. Explain how AI influenced each growth strategy's effectiveness.
  3. Assess potential risks or challenges Lovable might face due to rapid AI integration (e.g., data privacy, technological dependency).
• Encourage use of business terminology such as 'scalability,' 'competitive advantage,' and 'disruptive innovation.'
• Teacher circulates to prompt deeper analysis and scaffold where needed.

National Curriculum Alignment: Emphasis on evaluative and analytical skills regarding business growth strategies.

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4. Class Discussion and Reflection (10 minutes)

• Groups present one key finding or challenge to class.
• Facilitated discussion comparing traditional vs AI-led growth strategies.
• Critical reflection on ethical implications and sustainability of AI-powered business models.

Objective: Develop communication skills and critical evaluation of current business trends per NC guidance.

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5. Plenary and Assessment (5 minutes)

• Quick quiz (verbal or using quick tech tools like Kahoot or mini whiteboards):
  • Define ‘scalability’ in business.
  • Name one growth strategy employed by Lovable.
  • State one risk involved in using AI to grow a business.
• Exit ticket: Students write one insight gained about digital innovation and one question they still have.

Teacher notes: Use student responses to inform next lesson focus and address misconceptions.

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Differentiation

• Support: Provide glossary handout of key terms (e.g. ARR, innovation, scalability).
• Extension: Challenge stronger students to suggest alternative strategies or predict future trends based on AI’s role in business.
• Use mixed-ability groupings to promote peer learning.

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Curriculum Links Summary

Aspect	National Curriculum Reference	Lesson Implementation
Growth strategies	"Understand how businesses develop strategies for growth and expansion, including innovation and market changes."	Case study analysis of Lovable’s AI-based growth.
Digital technology & innovation	"Develop enterprise skills including use of technology and digital tools."	Focus on AI’s role in rapid business scale-up.
Evaluation and analysis	"Develop skills to critically analyse and evaluate business decisions."	Group analysis and class discussion on risks/benefits.
Communication skills	"Present ideas clearly and listen to others."	Group presentations and class debates.

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Teacher Reflection Prompts

• Did students effectively link AI innovation to business growth strategies?
• How engaged were students in identifying challenges of tech-driven expansion?
• Were ethical implications sufficiently explored?
• Would introducing live industry expert Q&A (via video call) in future enhance learning?

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This lesson plan integrates cutting-edge business trends with the National Curriculum, equipping Year 12 students with critical insights into how AI-driven innovation reshapes business growth in an inspiring, interactive way.