An Analysis of Innovation and Enterprise in Modern Business

This essay analyzes the critical role of innovation and enterprise in business success. It defines innovation as the process of transforming ideas into valuable goods or services, essential for companies to thrive. The essay emphasizes the importance of market research in identifying consumer needs and driving new product development, which in turn increases sales and profitability. It highlights that innovation boosts productivity, reduces costs through technology, and enhances competitiveness by improving products and brand recognition. The essay uses the example of Mars' Maltesers Buttons to illustrate new product development. The conclusion reiterates the importance of innovation and enterprise, emphasizing that businesses must prioritize market research and innovation to achieve profitability and success.

INNOVATION AND
ENTERPRISE

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Innovation is being defined as the process with help of which an idea or invention is
being created or transformed into a good or service. This good or the service need to be created
in such manner that it provides or creates values for the consumer against which they will pay
money. For an enterprise it is very essential that they have a major focus on proper innovation as
if the innovation and creativity is not there then this will affect the working to a great extent. The
present essay will outline the fact that why innovation is fundamental for the business and its
improvement.
MAIN BODY
By the analysis of different secondary sources, it was evaluated that innovation and
enterprise is very important for the business to adhere to (Mika and et.al., 2017). This is
pertaining to the fact that when the business will not be innovative then this will not be liked by
the consumers. Along with this there are many different changes which are continuously taking
place in the external environment and if these are not followed then the company will not be
liked by the consumer. This is pertaining to the fact that consumer does not like the fact that
company is not providing latest innovative and advance products.
For the business to be successful the most essential aspect is to have a major focus on the
innovation and enterprise. This is pertaining to the fact that when the people within the company
will not be having good innovative skills then this will affect the working to a great extent and
will result in consumer not liking the product and service. Thus, it is the responsibilities of the
employees and the company that they must continuously research within the market place and if
there are any relevant changes then these must be adapted by the company.
The market research is very essential as when the companies will undertake the market
research then they will get new ideas for the improvement of the existing product or
development of the new product. Both this will result in increase in the product range and quality
of the goods and services being provided by the consumer to the company. hence, when the
market is analysed then companies will get an idea that how the new product is developed
(Kraśnicka, Głód and Wronka-Pośpiech, 2018). In addition to this when the companies will bring
in new product as per requirement of the consumers then this will increase the number of the
consumers. Thus, the sales and profitability of the companies will increase.

In case of the new and start- up business, the most important thing is to have a major
focus on the innovation and enterprise. The reason underlying this fact is that when the business
is new then there is high requirement for the business to provide for better and good services
(Shaikh, Sharma and Karjaluoto, 2020). This is due to the fact that when the new business will
be having better access to innovation then this will attract large number of consumers and sales
and profitability of the company will increase. The main reason for the new and start- up
business along with the existing business to use innovation is that this will improve the
productivity of the company. the reason pertaining to this fact is that when there will be
innovation the company will be complying with latest tools and techniques and hence this will
result in improvement of productivity of the company.
Along with this when there will be major focus on the innovation then this will result in
reduction in cost of the company as well. the major reason pertaining to this fact is that when
innovative technology is being used then this results in reduction of the cost. Along with this the
use of idea generation is helpful as this result in the development of the new product and services
for the company. hence, this will result in the better and effective increase within the business
and its product range (Olefirenko and Shevliuga, 2017). Thus, this will be beneficial for the
company as their range of the product will increase and will result in enhancing the profitability
and goodwill of the company.
Moreover, when the businesses will have a major focus on the effective innovation and
the enterprise then this will result in increase in the competitiveness of the companies. This is
particularly because of the reason that when the companies will be innovating time to time then
this will result in the improvement within the services and products which are being provided to
the consumers. Moreover, this will result in improvement in brand value and brand recognition
among the consumers. The reason underlying this fact is that is that when the emphasis is laid
over the innovation then the company will come in publicity and this will result in increased
within the goodwill and market share of the company. in addition to this when market share will
increase then more consumer will come to know about the company and this will increase brand
recognition and brand awareness (Squicciarini, 2017).
For instance, Mars’ Maltesers Buttons is an example of innovation which was originally
launched in chocolate flavour and then launched the mint SKU. This was noted as NPD that is
New Product Development and was launched first time in history of chocolates that is “a

delicious combination of the Maltesers trademark along with fresh minty flavour (What are the
top 25 ‘breakthrough innovations’ of 2020 so far? 2021).
CONCLUSION
In the end above report concluded that innovation is defined as the process through which
new product is developed or something new is brought in existing product. For businesses to be
successful it is very essential for the companies to have proper access to market research so that
they can innovate in proper and effective manner. This will ultimately result in the increase in
profitability and sales and goodwill of the company. hence, when companies will comply
effectively with innovation and enterprise then this will surely result in success for the
businesses.

REFERENCES
Books and Journals
Kraśnicka, T., Głód, W. and Wronka-Pośpiech, M., 2018. Management innovation, pro-
innovation organisational culture and enterprise performance: testing the mediation effect.
Review of managerial science. 12(3). pp.737-769.
Mika, J. P., and et.al., 2017. Perspectives on indigenous entrepreneurship, innovation and
enterprise. Journal of Management & Organization. 23(6). pp.767-773.
Olefirenko, O. and Shevliuga, O., 2017. Commercialization of innovations: peculiarities of sales
policy at innovation active enterprise. Innovative Marketing. 2. pp.6-12.
Shaikh, A. A., Sharma, R. and Karjaluoto, H., 2020. Digital innovation & enterprise in the
sharing economy: An action research agenda. Digital Business. 1(1). p.100002.
Squicciarini, M., 2017. Entrepreneurship, innovation and enterprise dynamics. Small Business
Economics. 48(2). pp.273-278.
Online
What are the top 25 ‘breakthrough innovations’ of 2020 so far? 2021. [Online]. Available
through: < https://www.foodnavigator.com/Article/2020/09/17/What-are-the-top-25-
breakthrough-innovations-of-2020-so-far>