BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -While the word is derived from the Latin noun innovatus and appears in print as early as the fifteenth century, the more modern interpretation and expounding of it go back to the famous economist Joseph Schumpeter and his writings in the 1930s (Schumpeter, 1934).

Detailed explanation-2: -The ‘Innovation Theory of Profit’ was proposed by Joseph. A. Schumpeter who believed that an entrepreneur can earn economic profits by introducing successful innovations.

Detailed explanation-3: -Schumpeter’s theory assumed that innovation-originated market power could provide more effective results than pure price competition. He described that technological innovation often creates temporary monopolies that produce excessive profits.