"Creative destruction" is simply "reconstruction" in "fragmentation": the innovation of entrepreneurs is the driving force of economic growth, and innovation can constantly destroy the old market equilibrium from the inside and create new order and structure at the same time. This process of dynamic competition forces the old model to go out and change, and brings economic growth from upgrading.
The speed of technological innovation is indeed a factor that distinguishes competitors, and the influence of this factor may be greater than people thought before. At the same time, the study also found that the rapid development of science and technology in the 1920s, 1960s and 1990s actually led mankind into a more productive and affluent era.
The influence of innovation
Previous research on patents and innovations was mostly based on its obvious data, such as counting the number of times this patent was cited. But this statistical method is very narrow, because although some patents have considerable scientific value, their economic value is not worth mentioning.
For example, IBM once applied for a patent to allow passengers on the plane to make an appointment to use the bathroom, thus avoiding the problem of people queuing to go to the bathroom on the plane. The system behind this patent was later cited by many patents, but IBM did not put it into commercial use, so although it has high scientific significance, it has little economic significance.
Seru, a professor at Stanford University, and his colleagues adopted different methods to observe the influence of nearly 1.8 million patents issued by listed companies between 1926 and 20 1 1 on their stock prices.
After filtering out the random fluctuation of stock price and market noise through statistical technology, they found that the news of patent authorization would have a positive impact on a company's stock price within one or two days after its release.
Then, these researchers try to find out how the speed of the company's patent breakthrough affects it. As expected, they found that this process has a strong correlation with the company's future development and competitive advantage. More specifically, Seru said that companies with the top 65,438+00% innovation capability will grow in the next five years, and the growth rate is 65,438+0% to 3% higher than that of companies with average innovation level.
Considering that 10% is a rapid annual growth rate for most companies, the extra 1%-3% is a powerful advantage. In contrast, some companies with backward innovation in their fields will face a decline in growth rate in the next five years, with a maximum of only 2.5%.