In this chapter, we have discussed the concept of creativity and innovation, and identified various approaches on how to foster them. There are several all-encompassing lessons that can be derived from the previous discussion:
- Innovation is the result of willful and serendipitous interconnections between the little ahas.
- Innovation usually involves intellectual and technological maturity levels so that learning-by-doing is possible.
- Innovation requires dialog, learning-about, encouragement, time, solitude, experimentation, construction, and some pressure, but not too much.
- Learning-about, learning-by-doing using prototyping, and hard work are the keys to creativity and successful innovation.
Innovation is an important driver leading to organizational financial performance. 1 It is after all the catalyst for developing differentiated products and services for competing in monopolistic competition markets. Research and development is driven by the diffusion of science and the translation of basic science into commercially viable products and services. R&D by entrepreneurs may not involve basic scientific research, but it does involve searching for ideas that will lead to differentiated and marketable products and services.