Managerial strategies based on innovation

Innovation improves a firm's capability of achieving strategic competitive advantage in domestic and global markets, but it will also involve technical and market risks. The quality of management will have a crucial influence on the innovation success achieved by a company. In today's global economy, successful managerial strategies on innovation include international diversification and value innovation. International diversification provides the potential for a firm to achieve greater returns on its innovations and thus lowers the usual substantial risks, and effective value innovation is at the core of a firm's competitive success because a firm seeks to commercialize each invention through value innovation.