Sept-Dec. 2010

Economics of innovation

Ludovic Dibiaggio SKEMA Business School

Course website http://webintec.skema.edu/courses/GE2E1524/index.php See the website for all information on

Course requirements Reading list and questions on reading My office hours (which may change from time to time) Links to some of the readings

Economics of innovation Sept_Dec. 2010

Ludovic Dibiaggio

Objectives
Why is innovation so important to
Society Economy Business

How does innovation work?
What are the main management choices to be made to face the innovation challenge? What are the basic analytical tools to handle these choices?

Economics of innovation Sept_Dec. 2010

Ludovic Dibiaggio

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Outline
Introduction: Why does it matter? What is innovation? Innovation and economic growth
• • Does innovation contribute to growth? Does it affect employment?

Innovation and market structure
• • Innovation and competition Industry dynamics

Innovation Management
• • • Entrepreneurship Funding innovation Protecting innovation

Economics of innovation Sept-Dec. 2010

Ludovic Dibiaggio

“… if a company had only one competency… it must be innovation. From a strategic perspective, the speed of innovation, the effectiveness of innovation and the ability to innovate are, perhaps, the only truly proprietary competitive weapons that an organization has.”
Peter Drucker

Economics of innovation Sept_Dec. 2010

Ludovic Dibiaggio

Knowledge economy is “… one in which the generation and exploitation of knowledge has come to play the predominant part in the creation of wealth. It is not simply about pushing back the frontiers of knowledge; it is also about the most effective use and exploitation of all types of knowledge in all manner of economic activity” (DTI Competitiveness White Paper 1998) »

Economics of innovation Sept_Dec. 2010

Ludovic Dibiaggio

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Innovation and economic growth

Has innovation always been important? Does