Understanding innovation. 

Understanding innovation. 

Innovation can take place in two ways:

i) innovation in the end-product (Product Innovation) 

ii) innovation in the process (Process Innovation) 

Product Innovation : involves creating a new/better/improved product/service which is more efficient, eco-friendly, sustainable, cost-effective, etc. 

In this, only the outcome is “innovated”. 

Process Innovation: in this, the end-product remains the same but the process of manufacturing is different. Innovating a new process for building the product which (process) is more efficient, sustainable, cost-effective, eco-friendly, etc. 

In this, the outcome remains the same while the process is innovated. 

Relation between GDP & Innovation. 

There is direct correlation between increase in expenditure on R&D & increase in the GDP. 

Hence, innovation is necessary for a healthy economy.

With Great Love, 

Er. Amit Yadav

http://www.stayfoolish.in

Advertisements

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s