New Knowledge

    In the theory and practice of innovation and entrepreneurship, the bright-idea innovation belongs in the appendix.
    New knowledge is not the most reliable or most predictable source of successful innovations. For all the visibility, glamour, and importance
of science-based innovation, it is actually the least reliable and least pre- dictable one. Knowledge-based innovation has the longest lead-time of any innovation. First, there is a long time span between the emergence of new knowledge, and it’s becoming applicable to technology. And then there is another long period before the new technology turns into products, processes, or services in the marketplace.
    The introduction of innovation creates excitement and attracts a host of competitors, meaning that innovators have to be right the first time. They are unlikely to get a second chance. Here, even successful innovators al- most immediately have far more company than they want and must pre- pare themselves to weather the storm that lies ahead. For example, Apple Computer invented the personal computer. IBM was able to wrest market leadership from Apple through creative imitation. Apple failed to maintain its leadership position and became a niche player because it failed to pre- dict and respond to the competition it would face. In the theory and prac- tice of innovation and entrepreneurship,  the bright-idea innovation belongs in the appendix. But it should be appreciated and rewarded. It rep- resents qualities that society needs: initiative, ambition, and ingenuity.

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