Essay Question Why innovation is important for firms to compete in many industries

Essay Question #1

  1. Why innovation is important for firms to compete in many industries

From a general context, innovation is defined as the most important facilitator of organisations success in many industries irrespective of their profiles. As evidenced in Cooper (2019) the importance of innovation is informed by the fact that most of the entities gain relevant achievements with more than third of sales for entire products developed within a period of upto 5 years. Hence, by working on appropriate product innovations, it is possible for organisations to have their presence in many industries and also work through differentiation in their active approaches. For instance, from my background information, it is evident that the manufacturing sector prioritise on innovativeness by achieving a holistic achievement in their operations.

Additionally, in my point of view, by embrace of innovation, there is a possibility of organisations to sustain customers’ needs while targeting new ones. The outcome of this is achievement of a consistent growth in their market of operations while innovating their operations in various industries and market of operation. For instance, Larsson and Larsson (2018) note that this is intended to make sure that the organisation improve on their overall costs of operations hence competitive advantage. This can either be disruptive, incremental, sustainability and radically innovating their practices.

  • Advantages of technological innovation? Disadvantages

As evidenced in Azizah et al. (2021) there is a common agreement that technology innovativeness represent a core facilitator of the economic growth and human wellbeing. Nevertheless, the existing disadvantages have a disruptive implication threatening the advantages linked with innovativeness embrace. In regard to the advantages, through the embrace of technology innovation, it is possible to create opportunity for entrepreneurs in venturing in appropriate organisations. This is while establishing competitive positions as an incumbents sources of advantage decays. Further, for an organisation, they are able to leverage on increasing overall output, increasing scope of competitiveness, increasing turnover while improving profitability and at the same time improving the overall brand recognition and value attained. On the other hand, for their disadvantages, Genin et al. (2021)…..

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