Creative destruction by innovation means
A)destruction of an innovative product once it fails in the market.
B)introduction of an innovative product makes older substitute goods obsolete.
C)substitute goods make innovative goods less competitive in the market.
D)introduction of innovative goods increase the competition in the market

Question

Quizplus · Accepted Answer

Creative destruction by innovation means that the introduction of a new innovative product makes older substitute goods obsolete. This is because the new product offers better features, performance or cost-effectiveness, making the previous product less relevant in the market. This cycle of innovation and obsolescence drives economic growth and progress.

Creative Destruction by Innovation Means