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Marketing innovation
Organisational innovation
Process innovation
Product innovation
Table 1. Distinguishing features of main types of innovation in conformity with OECD and Eurostat
methodology.
Types
Essential
characteristics
Introduction of a
good or service
that is new or
significantly
improved to the
firm with respect
to its
characteristics or
intended uses
Implementation of
a new or
significantly
improved
production or
delivery method.
This includes
significant changes
in techniques,
equipment and/or
software
Implementation of
a new
organisational
method in the
firm’s business
practices,
workplace
organisation or
external relations
Implementation
by the firm of a
new marketing
method involving
significant changes
in product design,
packaging,
placement,
promotion or
pricing
Minimal
requirements
New or
significantly
improved at the
innovative firm
level
New or
significantly
improved at the
innovative firm
level
Has not been
used before in
the innovative
firm and is the
result of strategic
decisions taken
by management
Part of a new
marketing
concept or
strategy that
represents a
significant
departure from
the innovative
firm’s existing
marketing
methods
Types of innovators
Source: prepared by author based on (OECD & Eurostat, 2005; CIS, n.d.).
Product innovative firm – a firm that during
the period under review introduced new
and significantly improved goods and/or
services with respect to their technical
specifications, components and materials,
incorporated software, user friendliness or
other functional characteristics.
Process innovative firm – a firm that during
the period under review implemented new
and significantly improved production
technologies and/or new and significantly
improved methods of supplying services and
delivering products. The outcome of such
innovation should be significant with respect
to the level of output, quality of products or
costs of production and distribution.
Organisational innovative firm – a firm that
during the period under review
implemented new methods for organising
routines and procedures for the conduct of
work, new methods for distributing
responsibilities and decision making among
employees for the division of work within
and between firm activities, new concepts
for the structuring of activities, new ways of
organising relations with other firms or
public institutions.
Marketing innovative firm – a firm that
during the period under review
implemented a new marketing method
involving significant changes in product
design (i.e. changes in product form and
appearance that do not alter its functional
or user characteristics) or packaging,
product placement, product promotion or
pricing.
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