What is innovation? According to a common definition, innovation is the process of translating an idea or invention into a good or service that creates value, or for which customers will pay. In the context of businesses, according to an article by HBR, innovation manifests itself in two ways:
- Disruptive innovation: Described as the process whereby a smaller company with fewer resources is able to successfully challenge established incumbent businesses.
- Sustaining innovation: When established businesses (incumbents) improve their goods and services in the eyes of existing customers. These improvements can be incremental advances or major breakthroughs, but they all enable firms to sell more ...
