Innovation strategy of the company as a source of its competitive advantages

Abstract

Introduction. Innovative development is an integral and active part of all spheres of life of a society and, in particular, the enterprise as its primary link. The importance of innovation development for enterprises can not be overemphasized: only through innovation can the competitiveness of products be ensured both on the domestic and on the world market. Innovation activity is one of the main components of the process of ensuring the successful operation of enterprises. Therefore, modern economic conditions require intensive innovation activity, effective organization of research and development, innovations, reduction of innovation risks, strategic management in the innovation activity of each enterprise. Purpose. The purpose of the article is to reveal theoretical aspects of development of the strategy of innovative development of enterprises in modern economic conditions. Results. Innovative development strategy of an enterprise is a set of goals and installations, rules of decision-making and methods of transferring an enterprise from the old (present) state to a new (target) state on the basis of the introduction of innovations – technological, product, organizational, managerial, economic, social and positioning of the enterprise on competitive markets for goods and services. That is why, the innovation strategy is always expressed in determining the type of target behavior of the enterprise in the competitive markets. Innovation strategy refers to the level of functional strategies. The strategic plan of an enterprise defines goals and directions of development in all spheres of economic activity, including innovations. K.Freeman gives the most perfect classification of the types of innovative strategy of the enterprise. It distinguishes six types of innovation strategy of the enterprise: offensive, protective, simulation, dependent, traditional and strategy “by chance.” Conclusions. Innovations in the enterprise are conditioned by economic necessity, since maintaining an adequate level of competitiveness in modern conditions is impossible without investing in research and development, developing or acquiring new technologies, developing new product launches, developing sales channels, maintaining a positive brand image, etc. Innovations are the most effective way to find the various ways and means to increase sales and increase profits for an enterprise.

Keywords

• innovation
• strategy
• development
• investment; resource.
• investment
• resource