LEARNING ACTIVITY

1. Research on Innovation‐driven vs small‐medium enterprise.

An innovation-driven company is defined as a company that seizes global

opportunities by introducing innovations with clear competitive advantages and high growth
potential for consumers. It is based on creating a competitive advantage through innovation
in one or more of these areas. Innovative companies are more likely to be founded by teams
of people with different skills and often better education. It consciously aims for global
markets and to create jobs that can be found in a wide variety of places. It tends to lose
money, but when succeeds, it grows exponentially. In general, the risk is much higher. It
also manages multiple stakeholders and key innovations. Innovators exist solely to create
wealth, even if they involve some control, such as equity. This means that the founding team
will be willing to share some of the company's ownership in exchange for funding. An
innovation-driven enterprise starts slowly, but once there is traction, it grows exponentially.

A small business is defined as a company that serves the local market with a well-
understood traditional business idea and limited competitive advantage. It doesn’t need an
innovative product, process, or business model to be successful. Its focus on local or
regional markets creates "non-market" jobs and attracts outside investors and a diverse
owner base. However, government policies and programs tend to favor small businesses
and often produce faster and more tangible results, which can hinder the success of
potential new IDEs. Small and medium enterprises (SMEs) are small and medium
enterprises (SMEs) that will remain small. Often these are service companies focused on
local markets and not striving to enter the global market. They are important to the economy
and the regions in which they operate, but the end result is linear growth. Small and medium
enterprises (SMEs) play a key role in the economies of most countries, especially in
developing countries, represent the bulk of the global business, and make an important
contribution to job creation and global economic development.