Impact of Innovation on Economic Perfomance on Micro and Macro Level Essay

Impact of Innovation on Economic Perfomance on micro and Macro Level - Essay ExampleThis essay is one of the best examples of comprehensive theoretic summary of the mechanism of the impact of technology changes on the competitiveness of a company or an entire economic system of a country. The tighter and more competitive business environment is driving firms to innovate in order to defend their existence as a market player. However, as more firms innovate, the struggle to maintain their share in the market in turn gets other firms to innovate, capturing everybody to be part of a complex economic cycle.A source of new technology is the societys search for increased economic efficiency and a sincere desire to reduce the cost that it has to pay for the availability of goods. Whether the purpose of the technology is to improve its hard-hitting use of available natural resources or to increase or alter the supply of available resources, it has impacted what people buy (hence created new demand types), what they choose to do with their time (leading to new market for untenanted events), what jobs are lost due to changes in the overall economic mix, and possibly the price of other goods that compete with the products, that were produced using new technology.Research, entrepreneurship, new start-ups, consolidation of businesses, interaction with other companies and financial markets create an environment that is definitive to innovations. Novel trends in innovative activities are impacted by new technologies, modifications in the existing experience base, as well as changes in consumer needs.