Technical innovation

Product innovation, or innovation to increase sales;

Process innovation, mainly aimed at reducing production costs.

This distinction does not tend to influence the final consumer in particular since in both cases it will benefit, thanks to greater convenience or higher performance.
The role of enterprises
As mentioned in the previous section, innovation is often the determining factor in the competitive success of an enterprise as it allows to create “competitive differentiation” and increase competitiveness, also favoring access to new markets or market segments. In this way, it becomes much easier to maximize profits, and as a result, in many cases, businesses become the real basins from which innovation originates.
On the contrary, a closed market where competition is low or even zero, as in the case of a monopoly, the stimuli mentioned above are for the most part lacking, often condemning the sector or the entire economic system to slow growth and a situation of general backwardness compared to the rest.
Problems and Risks
However, to be fair, while on the one hand the social impact of innovation can generally be regarded as positive because it can give more people access to a wider range of products, a better way of life through scientific and medical progress, a simpler life through progress in communications and transport, it is fair to say that not everything is positive and that innovation, especially if not developed and supervised properly can lead to damage and problems not irrelevant.
The environmental impact is one of the main problems also present in the public debate, and rightly so, the pursuit of an innovation that leads to sustainable development and therefore not only to make processes more efficient and economic, but that preserves and, if possible, improves the living conditions of people and the environment in general. Other problems caused by innovation are excessive traffic and overpopulation in cities and in general urban areas.
It is important to realize that it is important to pay attention to what is being done and to what innovation and development propose, because innovation must, as I said earlier, be careful and evaluate all the externalities that will have before being launched on the market. Certainly, with a more attentive public opinion and with greater attention from the institutions, companies will be increasingly careful to put innovations of this kind on the market, thus creating a considerable benefit for all.