INNOVATION

INNOVATION

1. What Is ?

   • "The application of new ideas to the products, processes, or other aspects of the activities of a firm that lead to increased “value.” This “value” is defined in a broad way to include higher value added for the firm and also benefits to consumers or other firms"
     • Product innovation: the introduction of a new product, or a significant qualitative change in an existing product
     • Process innovation: the introduction of a new process for making or delivering goods and services.
     • The process of innovation goes hand in hand with innovation and technology
       • Innovation
         • is the whole body of scientific evidence and human expertise that is, or could be, useful in the production and supply of commodities and in the invention and design of new products and processes
       • technology
         • The process of innovation goes hand in hand with innovation and technology
       • Stages of innovation process
         • 1, 2 ,3 Research and development
           • produce basic scientific knowledge, plans for new processes or blueprints, and initial prototypes of new products or processes.
         • 4) Commercialization
           • the point where there is a marketable product or new process, that innovation is achieved
         • 5)Diffucion
           • which covers the widespread adoption of the new product or process by the market
             • Feedback is a very important element in the innovation process, it can occur at any stage of the process and any agent can give it as: clients, companies, among others.
               • For an innovation to be considered as such, it must be relevant both for the company and for the market
               • Innovation must allow the use of knowledge by other companies to generate common benefit
       • fundamental elements of innovation
         • Technology encompasses the current set of production techniques used to design, make, package, and deliver goods and services in the economy.
           • So technology is the application of selected parts of the knowledge stock to production activity.
         • knowledge is the whole body of scientific evidence and human expertise that is, or could be, useful in the production and supply of commodities and in the invention and design of new products and processes
         • types of innovation
           • Product innovation
             • the offer for sale of a new type or design of a good or service product.
           • Process innovation
             • the introduction of new techniques for production