Innovation may be considered a technological or organizational (including
cultural and marketing, as a separate sub-set) change to the
product (or service) or production process that either reduces the product
(or service) or production process costs or increases the quality of
the product (or service) to the consumer. The definition is derived
from the seminal work of Schumpeter and other scholars (cf. Smith,
2000; Sundbo, 1998) and leads to the introduction of two broad categorizations:
commercial innovations motivated to achieve either revenue
generation or cost reduction; and public innovations/policy initiatives
aiming at achieving an increase in socio-economic welfare. In both
cases, innovation is acknowledged to be a key driver of economic