Companies apply cost and efficiency, quality, time, and innovation to promote research and development, which leads to innovative products that can disrupt industries and earn above-normal profits. Samsung's commitment to innovation, as emphasised by CEO Gregory Lee, highlights the temporary competitive edge firms can achieve. Examples include smartphones, electric cars, and cloud computing.
Companies in competitive markets utilize key success factors such as cost and efficiency, quality, time, and innovation to gain an edge over their rivals. These strategies contribute to promoting research and development, leading to the improvement of products which benefits many. Market competition serves as an incentive for innovation, enabling firms like Samsung, as stated by CEO Gregory Lee, to achieve 'above-normal profits' by offering unique products. Such products lead to the discovery of new possibilities in technology, and provide the innovating company a temporary advantage in their industry.
Some examples of innovative products that have disrupted their industries include smartphones, electric cars, and cloud computing solutions. These have changed consumer behaviors and established new market standards, often leading to increased profits for the innovating companies during the specified period of time. Following this pattern, an innovative firm must remain committed to innovation to stay ahead as competitors will eventually catch up, diminishing the edge the innovating firm initially had.