Innovation

• What are the two main approaches to innovation?

  Product innovation and process innovation
• What is innovation in a business context?

  Development of a new idea leading to new products
• What is an example of product innovation?

  Development of new camera technology for iPhone
• How can social changes affect innovation?

  They may increase demand for advanced products
• Why does competition drive innovation?

  It pushes businesses to develop new products
• What does product innovation involve?

  Development of new products for sale
• What is process innovation?

  Altering a product's manufacturing process to add value
• What is an example of process innovation?

  New factory production line for car manufacturing
• What are the advantages of innovation for businesses?

  • Improves product portfolio
  • Increases market share, sales revenue, and profit
  • Enhances process efficiency and competitiveness
  • Develops unique selling points for customer loyalty
• How does innovation improve competitiveness?

  By enhancing processes and creating unique selling points