research and development

Question 1

R+D

Answer 1

Importance of R&D to develop/enable innovation in products, materials,
systems or technologies
o Requires a significant financial investment for unknown gains/returns
o Focused on scientific aspects (as opposed to Market Research, which is about
people and their needs and wants).
o Is experimental and involves the development, invention and testing of new
improved materials, technologies, information, systems, etc.
o Innovation is important for businesses to gain a competitive edge in a
global market, and to create wealth and employment
o Entrepreneurial activities – taking financial risks by using innovations
developed through R&D to create new businesses generating wealth.

Question 2

market research

Answer 2

Importance of R&D to develop/enable innovation in products, materials,
systems or technologies
o Requires a significant financial investment for unknown gains/returns
o Focused on scientific aspects (as opposed to Market Research, which is about
people and their needs and wants).
o Is experimental and involves the development, invention and testing of new
improved materials, technologies, information, systems, etc.
o Innovation is important for businesses to gain a competitive edge in a
global market, and to create wealth and employment
o Entrepreneurial activities – taking financial risks by using innovations
developed through R&D to create new businesses generating wealth.