Role of Innovation and Entrepreneurship in Economic Growth

INNOVATION AND TECHNOLOGY MANAGEMENT
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The role of innovation and
entrepreneurship in economic
growth

INNOVATION AND TECHNOLOGY MANAGEMENT
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Executive summary
Innovation and entrepreneurship both are major factors in the economic development of a
country and the growth of small startup entrepreneurs. The key aspects of innovation and
entrepreneurship are mainly the most characteristic influence to financial development.
Innovation is an essential part that has the potential to improve the performance of startup
companies and help management to gather larger profits. The key goal of this research is to
demonstrate knowledge in the area of innovation and entrepreneurship and examine how both
these factors help in the economic growth and startup entrepreneur. In this investigation, the
Schumpeterian approach is designed in order to analysis and empirical hypothesis related to
innovation and economic growth. In the case of economic, innovation describes the
applications and development of ideas and communication technology which enhance goods
and services and provide better products to the consumers. This report conducted a literature
search in order to analyze and examine the opinions of other researchers along with the
findings of previous investigations. From literature, it is observed that both innovation and
entrepreneur play a crucial character in economic growth. There are mainly four drivers of
innovation includes in the growth of small startup entrepreneur including, ICT, sharing, the
building of knowledge and human resources. In which ICT is a very important driver that has
the ability to reduce communication gaps between consumers and entrepreneurs and help
management for performing real-time communication in the workplace.

INNOVATION AND TECHNOLOGY MANAGEMENT
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Table of Contents
1. Introduction............................................................................................................ 3
2. Literature review and Critical Analysis...........................................................................3
2.1 Dimensions of Innovation...................................................................................... 3
2.2 Role of Innovation and Entrepreneurship in Economic Growth........................................5
2.3 Drivers of Innovation............................................................................................ 6
3. Recommendation and conclusion.................................................................................. 8
4. References............................................................................................................ 10

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1. Introduction
The term innovation is defined as a process which included numbers of activities and
approaches to uncover new ideas to do things and help consumers for implementing their
ideas. Such kind of process shows a major part in the growth and improvement of economic
growth where it translates an invention into services which produce values for which the users
will pay. It is observed that entrepreneurship is one of the major factors that help consumers
to implement their ideas and also improve overall economic growth (Schmitz, 2017). The key
goal of this research is to explore the importance of novelty and entrepreneurship in economic
growth and analyze the various dimensions of innovations. It is identified that both revolution
and entrepreneurship are possibly Schumpeter’s most characteristic influence to finances and
growth of small start-up entrepreneurs. Mainly, an entrepreneur combines land, capital and
consumers to manufacture goods and deliver services by delivering and forming the
companies. This research report will conduct a literature review in order to analyze and assess
the numerous sizes of innovation and critically review the viewpoints of other experts in the
area of innovation.
2. Literature review and Critical Analysis
It is observed that the role of innovation in economic growth is a common topic for this
investigation and there are numerous papers were published in the last few years. The focus of
this section is to analyze and evaluate the findings of previous investigations and examine the
viewpoints of other researchers on innovation and entrepreneurship.
2.1 Dimensions of Innovation
According to Schmitz, et al., (2017) innovation and entrepreneurship both are considered as
the major element that helps in the enhancement of modern economic and small start-up