Disruptive Technologies, Innovation, and Competition in the Digital Economy

Abstract

In this chapter, a general overview of innovation (definition and typologies) is presented based on economics and management of innovation literature. Since the pioneering work of Schumpeter (1934, 1942), a growing body of literature has concentrated on technological change in industries. Technology is one of the main factors shaping environmental conditions of firms. The dynamics of innovation and technology may require several approaches to be analyzed. Innovation in various sectors is driven by standards and/or patents and other Intellectual Property Rights (IPR). Standards and patents are helpful for tracking globalization patterns. The current digital economy is characterized by fierce patents and standards battles. Standards and patents are helpful for tracking globalization patterns. The increasing development of Internet traffic and some of the key enabling technologies for the new digital economy called disruptive technologies are introduced.