Prof. Giuseppina Passiante Anno Accademico 2012/13 What is the innovation? Joseph Schumpeter ‘s definition of economic innovation The introduction of a new good or of a new quality of a good The introduction of a new method of production The conquest of a new source of supply of raw materials or halfmanufactured goods The opening of a new market The carrying out of the new organization of any industry Source: Schumpeter, J. (1934). The Theory of Economic Development. Harvard University Press, Boston. Anno Accademico 2011/12 Prof. Giuseppina Passiante Definition of innovation Everett M. Rogers, 1995 "Innovation is an idea, practice, or object that is perceived as new by an individual or other unit of adoption." Michael A. West; James L. Farr, 1990 "Innovation is the sequence of activities by which a new element is introduced into a social unit, with the intention of benefiting the unit, some part of it, or the wider society. The element need not to be entirely novel or unfamiliar to members of the unit, but it must involve some discernible change or challenge of the status quo." M. Porter “Companies achieve competitive advantage through acts of innovation. They approach innovation in its broadest sense, including both new technologies and new ways of doing things.” Definition of innovation INNOVATION = INVENTION + COMMERCIALIZATION Innovation is the use of new knowledge to offered a new product or service that customers want (Afuah). Bruce D. Merrifield, "Forces of Change Affecting High Technology Industries." IDEA MARKET "The three stages in the process of innovation: invention, translation and commercialization."