One of the main conditions for the formation of competitive, strategic perspectives of the enterprise is its innovative activity. Implementing innovation is the only way to increase the competitiveness of goods produced and support high rates of growth and profit. However, experts predict that we should not expect a significant progress in the development of innovative sphere in the near future. The main reason is a lack of practical experience of innovation in market conditions. The roots of this problem go back in time. It is associated with the orientation of research institutions on public. Many problems took place due to lack of well-established infrastructure and support horizontal linkages between enterprises, academic and financial institutions.
What is innovation? This is, first of all, a successful commercial use and implementation of new ideas, knowledge and technology, and secondly, a process of converting new ideas into those that have direct socio-economic impact. Innovative process extends from the inception of the idea to its commercial release, covering the full range of relations: production, exchange, and consumption. It integrates science, technology, education, economics, entrepreneurship, management, due to the nature and quality of their interactions and relations. Innovation is the result of a collective effort, where success depends not only on the field of science and technology, but on a much broader range of industries and social environment.
The experience of successfully developing companies shows that today survive those, who can respond quickly accommodate to changes and is continually innovating. Worldwide innovation today is not a whim, but a necessity of survival, maintaining competitiveness and further development.
The basic contradiction in the field of innovation is, on the one hand, a high innovation potential, and on the other one, the economic structure and economic mechanisms, which do not allow this potential to be perceived. Innovative problem is not only a problem of money and institutions, but also a problem of human capital. People stand for innovation.
In Western countries, entrepreneurship is seen as a special type of management, based on the search for new possibilities of goods production and services through innovation and the ability to attract resources from a variety of sources. The manufacturing process involves the creation of new goods, new methods of production, development of new markets, and implementation of industry reorganization.
The main motivation for the development of innovation is the desire and commitment to the management of strategic activities in general and, in particular, to innovation policy. In other words, the company should be a leader and innovator who are willing to allocate resources and develop new products. Another condition for innovation is an effective system of marketing and sales.