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Innovations that lower costs or improve productivity are most closely associated with which type of business?

Group of answer choices

a-All of these.

b-Emerging business opportunities (EBOs)

c-Mature business .

d-High-growth business

1 Answer

7 votes

Final answer:

Innovations that lower costs or improve productivity are most closely associated with high-growth businesses, which benefit from economies of scale and the pursuit of new innovations.

Step-by-step explanation:

Innovations that lower costs or improve productivity are most closely associated with high-growth businesses. These types of businesses, such as those in high-tech industries, are often in a state where economies of scale are substantial due to advancements in technology or an improvement in the workforce's education level. As a result, they experience falling average total costs, which can be a significant competitive advantage. A key principle of an innovative business, as quoted by Samsung CEO Gregory Lee, is the "relentless pursuit of new innovation" which affords these companies a temporary edge over competitors, allowing for the generation of above-normal profits before others can catch up. High-growth companies strive to be at the forefront of introducing new technologies and processes that can transform the industry they operate in.

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