INNOVATION AS A PROCESS

Abstract

The theme of this paper is innovation as a continuous process that drives the global economy of today. The goal of this paper is to theoretically and practically explore the definition of innovation as the basis of business for solving existing problems of the organizations and/or people in a radically different way that generates high utility for all stakeholders in the process of innovating and placing a particular innovation on the market. Relevant scientific and professional literature in the field of economics is used to cover the topic. The research is expanded with various publications, professional journals, scientific articles, and of course, the Internet. Also, various general scientific methods are used such as: methods of analysis and synthesis, induction and deduction, methods of abstraction and concretization, method of explication, methods of description and compilation and others. To survive in today’s dynamic market environment, it is of the utmost importance for all organizations to keep up with economic trends and reexamine existing business postulates. The key to success in today’s world is rapid development based on continuous innovation. Although the impact of digitalization is not new, the digital economy is entering a new era that presents unprecedented challenges for businesses in the EU and globally. Disruptive innovations and digital tools are rapidly entering the business environment, causing significant changes in our way of life. This has created new opportunities and challenges and triggered the digital transformation of the economy. Innovations have become the cornerstone of Industry 4.0. In summary, the relentless shift from simple innovation and digitization to disruptive innovations based on combinations of modern technologies is forcing organizations to rethink their business practices. The bottom line, however, is the same: business and political leaders must understand an ever-changing economic environment and support those who will relentlessly and continuously innovate.