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He was also the founder of the terms: “radical” and “incremental” innovations, which entail major sudden changes and continuously changing processes, respectively. Schumpeter set out a list of types of innovations which form the basis of today’s definitions and strategic choices. For example, the four most important aspects of nowadays’ innovation, namely product, process, marketing and organizational innovation.
Innovation may occur due to several reasons, according to Tirole (1995), innovation is a way of staying ahead of competitors. Adapting or developing ones products may help a company to protect or conquer market share from competitors...
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