GLOBALISATION, COMPETITION AND INNOVATION-RECENT DEVELOPMENT

Globalization and support of competition keeps prices low and output high. But what is their impact on quality and support of innovation? There is a fundamentals question about the relationship between competition and innovation which it has been subject of many theoretical debates. Timely implementation of innovations helps the county to reach the necessary competitive advantage and create and maintain competitive position in today's demanding international environment. This research work uses different research strategies to explore the current competitive position and innovation potential of companies in the Czech Republic. It examines the institutional setup and financial background of innovation generators. It explores the official administrative and financial support of innovations. Impact of globalization on innovative activities is highlighted. In the regional context an important role is represented by some specific interests and local assignments. Regions often stress a fast fructification of innovations and rapid implementation of investments into their local and municipal culture. The results of this study bring the characteristics of innovation environment and innovation potential of the Czech Republic, which can be used as a base for decision making on governmental, regional and professional levels.