Innovation means improving. The term is usually broken down into the following classifications:
- Product or service Innovation
- Process Innovation
- Organizational Innovation
- Marketing Innovation
Joseph Alois Schumpeter outlined the following types of innovations:
- New product introduction
- New method of production introduction
- New market opening
- Acquisition of a new source of supply (input)
- New marketing structures creation
Peter F. Drucker considers innovation as one of two basic functions of the business: “Because the purpose of the business is to create customers, this business has two – and only these two – basic functions: marketing and innovation.”
Related terms and methods:
- Four stages of change model
- Disruptive technology, disruptive innovation
- Business purpose, functions and objectives by Drucker
Related management field:
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