1. a) Difference between innovation and invention
Invention means developing any new thing or process so as to fulfill any specific need of individuals. On the other hand, innovation means modifying or improving an existing product or process so as to create any new need for individuals or solving their problems or providing more facilities to them. If there is invention, then innovation comes into existence. For example Airplane development was innovation, but further changes made in the technology are innovation in it. Difference between innovation and invention is given in below given table.
.b) Types of innovation
There are multiple types of innovation like architectural, radical, incremental and disruptive innovation. Architectural innovation is a very important form of innovation and in this company simply learns lessons, technology and skills from someone or from personal experience. Firmly apply these into different markets where the company already operates or plan to operate (Dirican, 2015). This help firm to expand its business at a fast pace in new markets. Radical innovation is the sort of innovation in which industry that was for a long time comes to end and new industry comes into existence. This happened when revolutionary technology is developed (Lopez., 2015). For example, firms that earlier manufacture radio shut down and now through mobile people listen music. In current time period architectural innovation is taking take place on large scale. By forming joint ventures over the years firms do technology transfer and lead domestic market after JV comes to end. In entertainment industry radical innovation happened at fast pace and Netflix like companies are best example of this. Radical innovation change face of industry at fast rate then architectural innovation.
4.a) Appropriate leadership style
For management of the innovation process leader must follow transformational leadership style. Innovation requires application of mind of different people in its development and management process. Success of any firm depends on its workforce efforts. Employees at the workplace need to be motivate and inspire and encourage for innovating products and process at the workplace. By motivating and inspiring their efforts can channelize in proper direction at the workplace. This is done under transformational leadership. (Ferreira Gregorio, Pié and Terceño., 2018). There are some challenges that one face while following transformational leadership style. First challenge is that leader has to make its followers understand that there is need to bring change at the workplace. Many times employees failed to understand logic that their leader gives and does not make sufficient efforts for innovation of products. Second challenge in this leadership style is that it is hard task to inspire workforce for innovation at the workplace with compelling vision of future. Third challenge is that while doing innovation changes need to make in the business and many times workforce oppose implementation of those changes at workplace. In such case it becomes hard task to convince them to accept change.
4.b) Modular value chains governance and technology learning
Modular method can be adopted by the business firm as it assist firm to elevate business profitability. Foreign company which is developing company which receive subsidy from Government make payment of licensing fee even it does not have brand name (Saviotti and Metcalfe, 2018). In modular method foreign firm never involved in development of any subsidized company. According to self T&C firm which is subsidized make investment of capital in technology and do production of products. Firm must not choose captive method because in this firm is not able to develop its technology base in respect to all business functions Schaltegger and Wagner, 2017). Captive method can be used by the firms which sufficient control on subsidiary company financial and technical aspects.
Books and journals
Barbier, E. B. and et.al., 2019. The economics of the tropical timber trade. Routledge.
Chang, H. J. and Andreoni, A., 2019. Institutions and the process of industrialisation: towards a theory of social capability development. In The Palgrave Handbook of Development Economics (pp. 409-439). Palgrave Macmillan, Cham.
Daunorienė, A and et.al., 2015. Evaluating sustainability of sharing economy business models. Procedia-Social and Behavioral Sciences. 213. 836-841.
Dirican, C. 2015. The impacts of robotics, artificial intelligence on business and economics. Procedia-Social and Behavioral Sciences. 195. 564-573.
Elgelal, K. S. K and Noermijati, N. 2015. The Influences of Transformational Leaderships on Employees Performance (A Study of the Economics and Business Faculty Employee at University of Muhammadiyah Malang). Asia-Pacific Management and Business Application. 3(1). 48-66.
Ferreira Gregorio, V., Pié, L., and Terceño, A. 2018. A systematic literature review of bio, green and circular economy trends in publications in the field of economics and business management. Sustainability. 10(11). 4232.
Georgescu, M. and Popescul, D. 2015. Social Media–the new paradigm of collaboration and communication for business environment. Procedia Economics and Finance. 20(1). 277-282.
Hanushek, E. A. and Woessmann, L., 2015. The knowledge capital of nations: Education and the economics of growth. MIT press.
Holzman, L., 2016. Schools for growth: radical alternatives to current education models. Routledge.
Hummel, K., Pfaff, D. and Rost, K. 2018. Does economics and business education wash away moral judgment competence?. Journal of Business Ethics. 150(2). 559-577.
Kelly, R., 2016. Creative development: Transforming education through design thinking, innovation, and invention. Brush Education.
Lawrence, R. J. 2018. Applications in economics and business. In Lognormal Distributions (pp. 229-266). Routledge.
Melé, D. and Schlag, M. 2015. Humanism in economics and business. Dordrecht: Springer.
Robeyns, I., 2017. Wellbeing, freedom and social justice: The capability approach re-examined. Open Book Publishers.
Robst, J. and VanGilder, J. 2016. Salary and job satisfaction among economics and business graduates: The effect of match between degree field and job. International Review of Economics Education. 21. 30-40.
Saviotti, P. P., and Metcalfe, J. S. 2018. Present development and trends in evolutionary economics. In Evolutionary theories of economic and technological change (pp. 1-30). Routledge.
Schaltegger, S., and Wagner, M. 2017. Managing and measuring the business case for sustainability: Capturing the relationship between sustainability performance, business competitiveness and economic performance. In Managing the business case for sustainability (pp. 1-27). Routledge.
Willis, J. J., Koper, C. and Lum, C., 2018. The adaptation of license-plate readers for investigative purposes: police technology and innovation re-invention. Justice quarterly. 35(4). 614-638.
Lopez., J., 2015. [Online]. Types of innovation. Available through:< https://techblog.constantcontact.com/software-development/types-of-innovation/>