Exploring Entrepreneurship and Innovation in the Australian Economy

This report explores the significance of creativity and innovation, particularly within the Australian context. It emphasizes that creativity, driven by knowledge and innovative ideas, is crucial for developing new products and services. The report highlights three levels of creativity: discovery, invention, and creation, and posits that creativity and innovation are fundamental to a nation's success. It investigates whether Australia should invest in creative innovation, considering the potential benefits, such as socio-economic development, job creation, and solutions to environmental and social challenges, as well as the challenges, including the need for a supportive culture, an aging workforce, and global competition. The report concludes that innovation and creativity are complementary processes that can drive economic growth and stability in Australia, provided the country strategically aligns these factors to exploit available opportunities.

Running Head: ENTREPRENEURSHIP AND INNOVATION 0
entrepreneurship and innovation

ENTREPRENEURSHIP AND INNOVATION 1
Executive Summary
Creativity is a function of knowledge framed in ideas and patterns to create new
innovative products and services. The three important levels of creativity are discovery,
invention and creation. Creativity and the innovation are the driving force behind the success
of any country.
In this report, the importance of creativity and innovation is explained in terms of
Australia as whether the country should invest in the creative innovation and what benefits
and challenges faced by the country if they invest in creativity and innovation.

ENTREPRENEURSHIP AND INNOVATION 2
Table of Contents
Introduction................................................................................................................................3
Conclusion..................................................................................................................................6
References..................................................................................................................................7
Appendix....................................................................................................................................8

ENTREPRENEURSHIP AND INNOVATION 3
Introduction
A country can bring new idea, procedures and products with the getting of new value
through the process of innovation. It is also referred to as one of the crucial success factors
for any industry or country. With the help of this approach, a country can able to create
creative solutions to the problems they are facing and reached to the targeted economy for
enhancing the lives of the people and enriching the society.
Creativity is an active process significantly involved in innovation. It also called the
heart of innovation and requires a learning habit and skills to be used in the specific
understanding. The three basic components of the creativity are – Expertise, Motivation and
Creative – thinking skills (Amabile & Pillemer, 2012).
This shows that it is important for society and economy to invest into the creativity
and innovation. Innovation can contribute to the socio-economic development which
fulfilling various objectives of socio-economy. Innovation is associated with the
establishment of new organizations gives enormous opportunities to the markets, and thus
leads to creation of new jobs (Crumpton, 2012). Several environment challenges can be
tackled with the help of innovation and creativity like maintaining biodiversity and limiting
climate change by controlling greenhouse gas emissions. This can be made with the help of
introduction of new technologies and non-technological innovations. For example, according
to the various reports, it is to be found that innovation and creativity are increasing in the
mitigation of climate change, which forces many companies to switch their effort towards the
approach of sustainable manufacturing. Innovation and creativity can also help in alleviating
social challenges relating to health and demographics and social exclusion and inequalities
(Trimi & Berbegal-Mirabent, 2012). To the economy, innovation can give many preventive
health care products that will help in improving the human health. A creative economy is a
hidden force that makes a company move in the right direction. Creativity can also help the
economy to perceive customers demand and produces creative solutions to best meet their
demand. It fulfils the competitiveness requirements in the country in the changing phase of
globalisation and dynamic environment.
Australia can facilitate creativity and innovation as it is brimming with various new
ideas and opportunities. It is in a state of transition and currently experiencing an economic
climate rip for creativity and innovation. In Southern Australian, the government also

ENTREPRENEURSHIP AND INNOVATION 4
recently invested $80 million to speed up the state transformation to a modern, innovative
economy and this will creates many jobs in the future (Louisc, 2017). In 2016, Humanihut, a
southern Australian business organization was named in the world top most disruptive
business.
In addition, with the investment in the AI technology, Australia is also finding many
global opportunities in the field of application of research. With the growth in innovation and
creativity, the field of Australian research also making a significant impact in the area of
biotech and medicine as recently, the University of Adelaide established a smart needle help
in the process of brain surgery (Jones, Van der Laan, Frost & Loftus, 2008). Innovation breeds
innovation and for increasing the creativity, Australian has setup many innovation incubators
centres with the aim of cultivation and foster creative thinking.
In this modern era, innovation and creativity lie with the smartphone and this makes
the Australian government fund these technologies and bring innovative technologies and
local products to the global markets (Gawer, & Cusumano, 2014). This will lead to the building
of Australian reputation in the global markets as a centre for entrepreneurship and innovation.
In addition, there are many benefits available to Australia if the country invests in the
field of creativity and innovation. The rise in the new opportunities for creative
entrepreneurship is one of the aspects when many entrepreneurship comes with new ideas
and models and do creative experiments. This can be proved an integral part for the growth
and stability of Australia as the developed economies success always depends on the creative
entrepreneurship.
The “Innovation Economy” will change the nature of businesses, capital, work,
markers and consumers. This will enable several conditions, which will help Australia
overcoming in the time of crisis (Nordfors, 2009). Investment in creativity and innovation will
also help Australia to create an environment stimulating the advancement of knowledge and
innovation.
Investment in creativity and innovation will also help various business in Australia to
invent creativity product and strategy development. This makes the organization come up
with the exciting new products and services with the seeking opportunities to further creative
growth and innovation (Okpara, 2007). On the other hand, creativity helps Australia in the
other way of thinking by enabling the connection of reflection with the Actions. It helps
Australia in building positive intercultural connections.

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On the contradictory side, there are various challenges persist in the field of
innovation and creativity, which may make halt Australia to invest. Innovation requires
culture that supports creativity. For the creation of such culture, investment in the research
and development is necessary but not sufficient (Sarros, Cooper & Santora, 2008). In addition,
one of the most wicked problem of Australia i.e. aging workforce and people is also blocking
the path of innovation and creativity. Creativity mostly evolves from a young mind and
nurturing creativity in young minds leads to innovation. Australia may lack creative and
innovation in the future due to this wicked problem and this can be proved a dark side for
Australia in the global markets.
The reshaping of the global environment is also affecting the creativity and innovation
in Australia. In this era of globalization, the whole world now becomes smarter, more
focused and financially committed to the development of the global competitive national
innovation system (Ireland & Webb, 2007). These developments in the other countries may
have an indirect impact on the growth and economy of Australia, which can make the
company lose focus on the investment of creativity and innovation.

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Conclusion
The entrepreneurial process in the stage of innovation and creativity consists of
various opportunities which need to be grabbed by the country. Both creativity and
innovation are complement to each other and used by the business world in their operations.
The innovation leads to the creation of the various conditions, processes, outcomes or
relationship and the country can exploit various opportunities by making align these factors
with the creativity.

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References
Amabile, T. M., & Pillemer, J. (2012). Perspectives on the social psychology of
creativity. The Journal of Creative Behavior, 46(1), 3-15.
Crumpton, M. A. (2012). Innovation and entrepreneurship. The Bottom Line, 25(3), 98-101.
Gawer, A., & Cusumano, M. A. (2014). Industry platforms and ecosystem
innovation. Journal of Product Innovation Management, 31(3), 417-433.
Ireland, R. D., & Webb, J. W. (2007). Strategic entrepreneurship: Creating competitive
advantage through streams of innovation. Business horizons, 50(1), 49-59.
Jones, S., Van der Laan, S., Frost, G., & Loftus, J. (2008). The investment performance of
socially responsible investment funds in Australia. Journal of Business Ethics, 80(2),
181-203.
Louisc. M. (2017). 5 Reasons Australia Is Becoming an Innovation Hub. Retrieved from
https://www.inc.com/molly-reynolds/5-reasons-why-australia-is-becoming-an-
innovation-hub.html.
Nordfors, D. (2009). Innovation journalism, attention work and the innovation economy. A
review of the innovation journalism initiative 2003-2009. Innovation
Journalism, 6(1), 1-46.
Okpara, F. O. (2007). The value of creativity and innovation in entrepreneurship. Journal of
Asia Entrepreneurship and sustainability, 3(2), 1.
Sarros, J. C., Cooper, B. K., & Santora, J. C. (2008). Building a climate for innovation
through transformational leadership and organizational culture. Journal of Leadership
& Organizational Studies, 15(2), 145-158.
Trimi, S., & Berbegal-Mirabent, J. (2012). Business model innovation in
entrepreneurship. International Entrepreneurship and Management Journal, 8(4),
449-465.

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Appendix