The choice of a strategy to exploit innovation depends on two factors:
A)luck and past experience in the industry.
B)characteristics of the innovation and a firm's financial resources.
C)characteristics of the innovation and a firm's resources and capabilities.
D)the nature of the innovation, and how large the firm is.

Question

Quizplus · Accepted Answer

The characteristics of the innovation and a firm's resources and capabilities are the key factors that determine the best strategy to exploit innovation. The nature of the innovation is crucial in determining whether it requires incremental or disruptive strategies, while the firm's resources and capabilities determine whether it can undertake innovation in-house or collaborate with external partners. Financial resources are also important, but they are only one aspect of a firm's overall resources and capabilities. Luck and past experience might influence the choice of strategy, but they are not reliable predictors of success. The size of the firm is not a determining factor in the choice of strategy.

The Choice of a Strategy to Exploit Innovation Depends on Two