week 1,2,3,4,5,6,8,9,10 Flashcards
(36 cards)
Who are stakeholders, how do they influence organisations
Stakeholders are individuals or groups that can affect or be affected by an organization’s actions, decisions, policies, and goals (Carroll & Buchholtz, 2000). They play a crucial role in shaping business strategies, influencing company reputation, and determining success.
Examples include:
Government bodies (regulation and taxation)
Employees (workforce productivity and morale)
Customers (demand and loyalty)
Suppliers (quality and supply chain stability)
what are the stakeholder classifications in an orgnisation
Stakeholders are categorized based on their level of involvement and impact:
Direct Stakeholders – Have a visible and active role in the organization (e.g., owners, executives).
Indirect Stakeholders – Do not actively participate but are affected by organizational decisions (e.g., the general public).
Internal Stakeholders – Are part of the organization’s structure (e.g., employees, managers).
External Stakeholders – Are not part of the business but are linked through economic or regulatory means (e.g., customers, suppliers, government agencies).
What is an opportunity in the international organistions context - give 3 key aspects
An opportunity refers to an apparent or latent possibility created by external events, suitable conditions, or circumstances in the business environment that can be leveraged for value creation.
Key aspects:
Opportunities arise due to market trends, technological advancements, and policy changes.
Organizations that identify and exploit opportunities gain a competitive advantage.
Examples include expanding into new markets, developing innovative products, or forming strategic partnerships.
What is value in an organisation, how is it created
Value refers to the unique benefit provided to customers that differentiates a business from its competitors.
Key components of value creation:
Product Differentiation: Offering features or services competitors lack.
Customer-Centric Approach: Understanding and fulfilling customer needs.
Cost Leadership or Quality Focus: Providing superior quality or lower prices.
Sustainability and Ethical Practices: Enhancing brand reputation and customer loyalty.
Example: A university offers specialized courses, cutting-edge research opportunities, and strong industry links, making it more attractive to students than competitors.
How do government policies impact business operations and decision-making?
Governments influence businesses by:
Setting laws & regulations (e.g., taxation, labor laws).
Providing financial support (e.g., grants, funding).
Creating stability (e.g., economic policies, trade agreements).
Encouraging innovation (e.g., R&D tax incentives).
Providing public services (e.g., infrastructure, healthcare).
Government policies influence costs, risk management, and business opportunities. For example, a rise in corporate tax can reduce a company’s profit margins, while a decrease in interest rates might encourage businesses to borrow for expansion. Changes in trade policies, such as Brexit-related regulations, can impact supply chains and international trade strategies.
What are two examples of political factors in PESTLE analysis that impact business operations? - also what is PESTLE - differences between political and legal factors
Political factors affecting businesses include:
Regulations & technical standards (e.g., product safety laws).
Administrative & bureaucratic procedures (e.g., business licensing).
Ownership restrictions (e.g., foreign investment rules).
Currency laws & investment incentives (e.g., exchange rate policies).
Brexit and trade regulations: Since leaving the EU, UK businesses must comply with new trade barriers and customs procedures when dealing with European markets, affecting supply chains and costs.
Environmental regulations: Governments phasing out single-use plastics or enforcing carbon reduction targets require businesses to invest in sustainable solutions, impacting production costs and operational strategies.
Political, Economic, Social, Technological, Legal and Environmental factors.
What is lobbying, and how can businesses use it to influence government policies?
Lobbying is when individuals, companies, or groups attempt to persuade policymakers to create or change laws that benefit them. Businesses may lobby by:
Directly engaging politicians to discuss concerns (e.g., industry associations meeting government ministers).
Funding research to provide evidence that supports policy changes (e.g., reports on tax benefits for renewable energy).
Public campaigns & media influence to shape public perception and political pressure.
While lobbying can be a legitimate part of democracy, critics argue that it disproportionately favors wealthy corporations that can afford professional lobbying firms, potentially leading to regulatory capture.
Lobbying is the process of influencing government policies, legislation, or decision-making. It can be conducted by businesses, trade unions, interest groups, and even individuals.
Businesses lobby for favorable policies: Large corporations (e.g., BP, Amazon) may lobby for tax incentives, deregulation, or industry-friendly laws to maintain competitiveness.
Trade unions & professional bodies advocate for worker rights: Unions like UNISON lobby for better wages, job security, and labor protections.
Media and former politicians influence policies: The media can shape public opinion, and ex-politicians often use their influence to advise businesses or governments.
Example: Marcus Rashford and FareShare successfully lobbied the UK government to extend free school meals for children during the COVID-19 pandemic.
Why is political and economic stability important for businesses?
Economic and political stability support long-term business planning: Businesses rely on predictable policies to make decisions on investments, hiring, and market expansion.
Unstable environments create uncertainty: Political unrest, economic downturns, and sudden policy shifts (e.g., Brexit, rising inflation) can disrupt business operations.
Governments create stability through policies: Fiscal policies (taxation, public spending) and monetary policies (interest rates, inflation control) help stabilize markets.
Businesses need stability to make informed decisions about investment, expansion, and hiring. An unpredictable political environment can lead to sudden regulatory changes, increased costs, and investor uncertainty. For example, if corporate tax rates change frequently, businesses struggle to plan long-term financial strategies. Similarly, a stable government with clear economic policies attracts foreign direct investment (FDI), boosting business confidence and market growth.
Flashcard 1: Forms of Organisations & Sectors
Q1: What are the main ways organisations can be classified?
Q2: What are the key differences between the private sector and the public sector?
Q3: What are some examples of public sector organisations?
Q4: How many private sector businesses existed in the UK in 2023?
Q5: What is the size distribution of private sector businesses in the UK?
Q6: How does the private sector differ internationally (UK, Germany, USA)?
Flashcard 1: Forms of Organisations & Sectors
A1: Organisations can be classified by:
Sector (Public vs Private)
Objective (Profit, Not-for-Profit, Social)
Scale (SMEs vs MNEs) - small and medium sized enterprises and multintional enterprises
Geographic Scope (National vs International)
Legal Form (Sole Proprietorship, Partnership, Ltd, Plc)
A2:
Private Sector: Owned by individuals, profit-driven, operates in various industries.
Public Sector: Owned by the government, serves public needs (health, education, transport).
A3: Examples: NHS, Fire Services, Police, Public Schools, Local Councils.
A4: In 2023, there were 5.6 million private sector businesses in the UK.
A5:
99.2% of UK businesses are small (0-49 employees).
0.7% are medium (50-249 employees).
0.1% are large (250+ employees).
A6:
UK: 5.75m in the public sector.
Germany: More private sector participation in state-owned enterprises.
USA: 135m of 161m workers in the private sector.
Flashcard 2: Organisational Objectives & Social Enterprises
Q7: What is the primary objective of a for-profit organisation?
Q8: What are the key characteristics of not-for-profit organisations?
Q9: How do public sector objectives differ from private sector objectives?
Q10: What is a social enterprise and how does it differ from a traditional business?
Q11: What are the key characteristics of social enterprises?
Q12: Why are social enterprises becoming increasingly important?
Flashcard 2: Organisational Objectives & Social Enterprises
A7: To generate profits for owners/shareholders and reinvest or distribute dividends.
A8:
Aim to benefit society rather than maximize profit.
Includes charities, NGOs, and social enterprises.
Funded through donations, sponsorships, and grants.
A9:
Public Sector: Provides essential services, not profit-driven.
Private Sector: Aims to maximise revenue and grow market share.
A10: A business that trades for a social purpose, reinvesting profits into community projects.
A11:
At least 50% of revenue comes from trading.
At least 50% of profits reinvested into social missions.
A12:
Growing demand for ethical business models.
Addresses environmental & social challenges.
Supported by government incentives & consumer preference.
Flashcard 3: Size & Legal Structures of Organisations
Q13: What defines a Small or Medium Enterprise (SME) in the UK?
Q14: What are the economic contributions of SMEs?
Q15: What is a Multinational Enterprise (MNE)?
Q16: How does internationalisation benefit businesses?
Q17: What are the common legal structures of organisations?
Q18: What are some key factors influencing the choice of legal structure?
Flashcard 3: Size & Legal Structures of Organisations
A13:
Small business: Turnover ≤ £6.5m, ≤ 50 employees.
Medium business: Turnover ≤ £25.9m, ≤ 250 employees.
A14:
99% of UK businesses are SMEs.
Drive employment, innovation, and economic growth.
A15: A company that operates in multiple countries, engaging in foreign direct investment (FDI).
A16:
Access to new markets and customers.
Lower production costs in some countries.
Diversification of revenue streams.
A17:
Sole Trader – One person owns and runs the business.
Partnership – Two or more individuals share responsibility.
Limited Company (Ltd) – Owners have limited liability.
Public Limited Company (Plc) – Can sell shares to the public.
A18: Influenced by:
Internal factors: Size, ownership, risk tolerance.
External factors: Taxation, industry regulations, legal requirements.
Flashcard 4: Decision Factors & Business Setups
Q19: What are the advantages and disadvantages of sole proprietorships?
Q20: What are the advantages and disadvantages of partnerships?
Q21: What are the advantages and disadvantages of limited companies (Ltd & Plc)?
Q22: Why do SMEs dominate the business landscape?
Q23: Why aren’t there more large businesses in an economy?
Q24: How do trade unions impact public and private sector employment?
Flashcard 4: Decision Factors & Business Setups
A19:
Advantages: Easy to start, full control, keeps all profits.
Disadvantages: Unlimited liability, limited growth, difficult to raise capital.
A20:
Advantages: Shared responsibility, diverse skills, more funding access.
Disadvantages: Disagreements, shared profits, unlimited liability (unless LLP).
A21:
Ltd Advantages: Limited liability, easier to raise capital.
Ltd Disadvantages: More paperwork, financial disclosure requirements.
Plc Advantages: Can raise large amounts of capital.
Plc Disadvantages: Expensive to run, risk of hostile takeovers.
A22:
Lower barriers to entry.
More flexibility & innovation.
Many businesses don’t need to scale to be profitable.
A23:
High operational costs.
Complex management structures.
Regulatory challenges.
A24:
23.1% of UK employees are union members.
More unionisation in the public sector.
Strikes and negotiations affect wages and working conditions.
Flashcard 1: Globalization & International Business
Q1: What is globalization?
Q2: What are the key characteristics of globalization?
Q3: How does globalization impact businesses and economies?
Q4: What is international business?
Q5: How do globalization and internationalization differ?
Q6: Why do firms expand internationally?
Flashcard 1: Globalization & International Business
A1: Globalization is the increasing cross-border integration of trade, capital, technology, and communications, leading to a more interconnected world. (Buckley, Enderwick & Cross, 2018)
A2: Characteristics include:
Geographic spread (businesses expanding globally).
Economic impact (trade and capital flow).
Cultural homogenization (global brands and lifestyles).
A3: Impacts include:
Access to new markets.
Greater competition and efficiency.
Risk of economic disparity and market dominance by large firms.
A4: International business involves companies engaging in cross-border activities, including trade, investment, and global operations. (Peng & Meyer, 2014)
A5:
Globalization is the broader process of world integration.
Internationalization is the strategy businesses use to operate abroad.
A6: Firms expand for:
Profit opportunities (larger customer base).
Competitive pressures (global competition).
Economies of scale (cost reductions).
Technological & tax advantages.
Flashcard 2: Global Market Drivers & Trading Blocs
Q7: What are the key drivers of globalization?
Q8: What are some major economic groupings?
Q9: What are some key trading regions and agreements?
Q10: How does regional integration benefit economies?
Q11: What are some challenges of regional trade agreements?
Flashcard 2: Global Market Drivers & Trading Blocs
A7: Key drivers of globalization:
Technology (e.g., digital connectivity).
Trade liberalization (lower tariffs, free trade agreements).
Competitive pressure (firms needing global reach).
Economic policies (FDI incentives, deregulation).
A8: Major economic groupings:
European Union (EU) – Political & economic integration.
G7 – Major advanced economies.
BRICS – Emerging economies (Brazil, Russia, India, China, South Africa).
OECD – High-income economies focused on policy cooperation.
A9: Key trading regions and agreements:
USMCA (formerly NAFTA) – U.S., Mexico, Canada.
ASEAN Free Trade Area (AFTA) – Southeast Asia.
MERCOSUR – South America.
EEA – European Economic Area.
A10: Benefits of regional integration:
Lower trade costs (reduced tariffs).
Increased efficiency (better resource allocation).
Stronger political cooperation (less conflict).
A11: Challenges of trade agreements:
Loss of national sovereignty over trade policies.
Unequal benefits (some countries gain more).
Increased dependency on foreign economies.
Flashcard 3: Issues & Criticism of Globalization
Q12: What are the main disadvantages of globalization?
Q13: What is deglobalization, and why does it happen?
Q14: What are the benefits of localization over globalization?
Q15: How does geopolitics influence international business?
Flashcard 3: Issues & Criticism of Globalization
A12: Disadvantages of globalization:
Economic disparity (rich countries benefit more).
Xenophobia & populism (fear of foreign influence).
Environmental concerns (higher carbon footprint).
Exploitation (cheap labor & outsourcing issues).
Over-reliance on foreign trade (vulnerable in crises).
A13: Deglobalization is the process of reducing economic interdependence, often driven by:
Nationalism & protectionism (e.g., tariffs, Brexit).
Trade wars (U.S.–China conflicts).
Supply chain disruptions (COVID-19, conflicts).
A14: Benefits of localization:
Reduced carbon footprint (local production).
Greater economic stability (less reliance on global markets).
Stronger local communities & job creation.
Less exposure to global crises.
A15: Geopolitics affects business through:
Trade restrictions & sanctions.
Political risks (wars, regime changes).
State influence on multinational firms.
Flashcard 4: The Role of Governments & Emerging Markets
Q16: How do national governments shape international business?
Q17: What are some examples of emerging market multinational companies?
Q18: What is the Emerging Market Potential Index?
Q19: What factors make emerging markets attractive for business?
Q20: How do businesses manage risks when expanding into emerging markets?
Flashcard 4: The Role of Governments & Emerging Markets
A16: Governments influence international business through:
Foreign Direct Investment (FDI) incentives.
Tax policies & trade agreements.
Economic patriotism (favoring domestic industries).
State subsidies & protectionist policies.
A17: Examples of emerging market multinational firms:
Brazil – Embraer, Havaianas.
Mexico – Bimbo, Cemex.
India – Tata, Infosys, Mahindra.
China – Huawei, Xiaomi, Alibaba.
Turkey – Koç Holding, Vestel.
A18: The Emerging Market Potential Index ranks economies based on:
Market size & growth rate.
Business environment & investment potential.
Infrastructure & economic stability.
A19: Factors making emerging markets attractive:
Fast-growing middle class (new consumers).
Lower production costs.
Abundant natural resources.
Government incentives for foreign firms.
A20: How businesses manage risks in emerging markets:
Diversification (not relying on a single country).
Hedging against currency fluctuations.
Local partnerships to navigate regulations.
Political risk insurance to mitigate government actions.
Flashcard 1: Understanding Risk & Its Impact
Q1: What is risk, and why is it important in business?
Q2: What are the different ways risk can be perceived?
Q3: What are the four key components of risk analysis? IMMM
Q4: What are the different levels of risk analysis? take a holistc/macro perspective
Q5: How does political and economic instability affect business risk?
Flashcard 1: Understanding Risk & Its Impact
A1: Risk refers to potential future events that may negatively impact a business. Managing risk helps companies make informed decisions and reduce uncertainty.
A2: Risk can be viewed as:
Opportunity – Taking risks can lead to growth.
Perception & attitude – Some firms are risk-averse, while others are risk-taking.
Reward – Higher risks often lead to higher returns but also greater consequences of failure.
Mitigation – Businesses can take steps to minimize or control risks.
A3: The four key components of risk analysis:
Risk identification – Recognizing potential threats.
Risk measurement – Assessing likelihood and impact.
Risk mitigation – Taking action to reduce threats.
Risk monitoring – Continuously evaluating changes in risk.
A4: Risk analysis occurs at different levels:
Organisation level – Financial, compliance, innovation risks.
Industry/Sector level – Technology changes, economic shifts.
Country level – Political instability, infrastructure failures.
A5: Political and economic instability can lead to:
Higher business costs (inflation, interest rates).
Regulatory changes that affect market entry.
Civil unrest or corruption impacting operations.
- Individual and credit rating as indicators of likeliness to pay back, therfore lenders or organisations will be more motivated or comfortable operating dualistically with individuals or countries with high credit ratings
Flashcard 2: Types of Risk & Risk Management
Q6: What are the main types of business risk? Consider PESTLE and other simillar factors
Q7: What is the difference between systematic risk and unsystematic risk?
Q8: What are some common political risks faced by businesses?
Q9: What are examples of legal risks that businesses encounter?
Q10: How do businesses identify and analyze risks?
Flashcard 2: Types of Risk & Risk Management
A6: The main types of business risk include:
Financial risks (currency fluctuations, credit risks).
Political risks (regulatory changes, government instability).
Legal risks (contract disputes, environmental regulations).
Environmental risks (climate change, supply chain disruptions).
Reputational risks (public perception, brand damage).
A7:
Systematic risk – Affects the entire market (e.g., inflation, recessions).
Unsystematic risk – Specific to a company or industry (e.g., a strike in a factory).
A8: Examples of political risks:
Macropolitical risks – Affect all businesses (e.g., government policy changes).
Micropolitical risks – Affect specific sectors (e.g., stricter rules for SMEs).
A9: Examples of legal risks:
Product liability (faulty goods leading to lawsuits).
Contract disputes (breach of agreements).
Intellectual property theft (trademark/copyright violations).
A10: Businesses identify and analyze risk through:
Brainstorming (internal experience & expertise).
SWOT & PESTLE analysis.
Credit rating agencies (assess financial stability).
Statistical analysis & expert interviews.
Flashcard 3: Risk Reduction & Mitigation Strategies
Q11: What are the key methods of risk reduction? AATD
Q12: How does risk transfer work, and what are some examples?
Q13: What are the benefits of localizing business activities in high-risk areas?
Q14: What is the risk-reward trade-off in investments and business decisions? (low and high risk and attractiveness)
Q15: How do businesses prioritize and categorize risks? - swot and pestle analysis rundown (high and nlow impact and likliness)
Flashcard 3: Risk Reduction & Mitigation Strategies
A11: Key risk reduction methods include:
Avoidance – Not engaging in high-risk activities.
Transfer – Using insurance or joint ventures.
Diversification – Expanding into multiple markets.
Adaptation – Adjusting business models for different environments.
A12: Risk transfer means shifting financial risk to another party, such as:
Insurance – Covers potential business losses.
Joint ventures – Sharing risk with a partner.
A13: Benefits of localizing activities in high-risk areas:
Building local trust through community involvement.
Reducing operational costs by sourcing materials locally.
Gaining government support through investment in local economies.
A14:
Low risk, low return – Government bonds.
High risk, high return – Venture capital investments.
Low attractiveness – Businesses with low potential and high risk.
High attractiveness – Scarce, valuable market opportunities.
A15: Businesses prioritize risk by:
High impact, high likelihood – Must be addressed immediately.
High impact, low likelihood – Requires contingency planning.
Low impact, high likelihood – Can be managed over time.
Low impact, low likelihood – Least urgent.
Flashcard 4: Trade, LDCs, & Ethical Considerations
Q16: Why do businesses trade with Less Developed Countries (LDCs)?
Q17: What are some ethical concerns related to business in LDCs?
Q18: What is the Commitment to Development Index, and what factors does it measure?
Q19: What are the major problems with LDC economies?
Q20: How can businesses balance profit-making with ethical considerations in international trade?
Flashcard 4: Trade, LDCs, & Ethical Considerations
A16: Businesses trade with Less Developed Countries (LDCs) because they provide:
Cheap raw materials.
Low-cost labor.
New markets for products.
Opportunities to promote economic development.
A17: Ethical concerns in LDCs include:
Worker exploitation (low wages, poor conditions).
Environmental destruction (deforestation, pollution).
Market manipulation (selling harmful products, like tobacco, to uneducated populations).
A18: The Commitment to Development Index (CDI) measures:
Finance (loans & grants to LDCs).
Trade openness (low tariffs, fair trade).
Environmental impact (GHG emissions, sustainability).
Security (peacekeeping, humanitarian aid).
A19: Major problems with LDC economies:
Agriculture-based (reliant on unstable commodity prices).
Lack of industrial diversification.
High dependency on foreign aid and investment.
A20: Businesses can balance profit and ethics by:
Investing in fair wages & worker rights.
Committing to sustainable production.
Partnering with ethical suppliers.
Flashcard 1: Knowledge Economy & Importance of Innovation
Q1: What is a knowledge-based economy, and how is it different from a traditional economy?
Q2: What are the key characteristics of a knowledge economy?
Q3: How does human capital contribute to a knowledge-driven economy?
Q4: Why is innovation important at both the national and organisational level?
Q5: What are the key reasons why businesses and nations need to innovate?
Flashcard 1: Knowledge Economy & Importance of Innovation
A1: A knowledge-based economy relies on knowledge, skills, and innovation rather than physical resources. It emphasises research, high-skilled labour, and technological advancements.
A2:
Knowledge-intensive sectors dominate.
Rapid technological change drives productivity.
Highly skilled workforce required.
Continuous learning & innovation are essential.
A3: Human capital + technology = knowledge economy. Skilled workers drive innovation, productivity, and competitiveness.
A4: Innovation is necessary to:
Stay competitive in global markets.
Adapt to technological advancements.
Meet changing customer expectations.
Ensure sustainability & long-term growth.
A5: Key drivers of innovation:
Sustainability & responsible business.
Competitive advantage & market expansion.
Talent attraction & retention.
Flashcard 2: Types of Innovation & Innovation Process
Q6: What is the definition of innovation, and what are its key components?
Q7: What are the 3 different types of innovation?
Q8: What are the three main degrees of innovation? - reffering to scale
Q9: What are the key steps in the innovation process?
Q10: How does technological advancement follow an S-curve in the innovation lifecycle?
Flashcard 2: Types of Innovation & Innovation Process
A6: Innovation comes from the Latin innovare (“to make something new”) and refers to introducing new ideas, products, or processes that add value.
A7: Types of innovation:
Product Innovation – New/improved products (e.g., smartphones).
Process Innovation – Better production methods (e.g., automation).
Service Innovation – New ways to serve customers (e.g., online banking).
A8: Degrees of innovation:
Incremental – Small, continuous improvements.
Radical – Major breakthroughs changing industries.
Disruptive – Innovations that replace existing markets (e.g., Netflix vs. Blockbuster).
A9: Steps in the innovation process:
Idea generation.
Research & development (R&D).
Prototyping/testing.
Commercialisation & scaling.
Market adoption.
A10: S-Curve in innovation:
Slow start – Technology is new, adoption is low.
Rapid growth – Innovation spreads, demand increases.
Maturity phase – Market stabilises, improvements slow down.
Flashcard 3: Challenges in Innovation & Business Failures
Q11: Why is innovation considered a risky and uncertain process?
Q12: What are some common reasons why innovations and startups fail?
Q13: What lessons can be learned from famous innovation failures (e.g., Ford Edsel, early Disney studio, Dyson prototypes)?
Q14: Why do even successful companies struggle with innovation?
Q15: How do companies create the right conditions for successful innovation?
Flashcard 3: Challenges in Innovation & Business Failures
A11: Innovation is uncertain because:
Future market conditions are unpredictable.
High R&D costs with no guarantee of success.
Consumer adoption takes time.
A12: 70% of tech startups fail within 20 months due to:
Lack of market need.
Running out of capital.
Poor business model fit.
Operational inefficiencies.
A13: Lessons from failures:
Ford Edsel (1950s) – Poor market research, failed design.
Early Disney Studio (1920s) – Bad contracts, bankruptcy.
James Dyson (5,000+ prototypes) – Persistence is key!
A14: Even successful companies struggle with innovation because:
Ideas may not fit their core business model.
Risk-averse culture discourages change.
Market conditions evolve faster than company decisions.
A15: To foster innovation, companies must:
Encourage risk-taking & experimentation.
Invest in R&D and employee training.
Support open innovation & collaboration.
Flashcard 4: Innovation at National Level & Workforce Requirements
Q16: What are the key determinants of innovation at the national level?
Q17: How does education investment impact a country’s innovation capacity?
Q18: Why is research and development (R&D) critical for national innovation?
Q19: How is innovation valued in the job market, and what skills are employers looking for?
Q20: How can individuals demonstrate innovation skills in job applications?
+ key takeaways
Flashcard 4: Innovation at National Level & Workforce Requirements
A16: Key factors influencing national innovation:
Education quality.
R&D investment.
Government policies & incentives.
Infrastructure & access to technology.
A17: Countries that invest heavily in education (as % of GDP) tend to have higher innovation output.
A18: R&D spending enables:
Breakthrough technologies.
New product development.
Industry-university collaborations.
A19: Employers value problem-solving, adaptability, and creativity in job candidates. “Innovative” appears in 36,581 job adverts, with an average salary of £37,680.
A20: To showcase innovation skills in job applications:
Mention problem-solving experiences.
Highlight creative solutions used in past roles.
Demonstrate adaptability in changing environments.
Key Takeaways:
📌 Knowledge Economy – Driven by innovation, human capital, and technology.
📌 Types of Innovation – Product, process, service; incremental, radical, disruptive.
📌 Challenges in Innovation – High failure rates, uncertainty, risk-averse cultures.
📌 Innovation & Employment – Employers seek creative problem solvers with adaptability.
