Should innovation activities be linked to our efforts to develop a strategic advantage or should innovation efforts be experimental with an objective of finding products or services that may be profitable at some indefinite point?
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Innovation activities should always be linked to every company's efforts to develop a strategic advantage. In as much as most innovations' success can not be predicted at a hundred percent, most of these activities are very costly for various institutions and their success or failure significantly affects the profitability of businesses. It is key that the main objective for innovation activities is to come up with a new product but market research should be undertaken by businesses to ensure that these innovations are timely and targeted to a certain market and in line with the strategy of the business. Every innovation for profit seeking institutions should give it a competitive advantage and thus if the innovation does not give that, then it is not economically viable to be undertaken.
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