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Innovation – source to obtain the competitive advantage in the global economy

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  • Sipos, Gabriela Lucia

Abstract

A strong motivation to replace the comparative advantage theory with the competitive advantage theory is given by the significant change of the present economic conditions comparing with the old conditions that inspired the competitive advantage issues. The dynamic character of the market competition and the fact that, in the present, the competitiveness is located to enterprise’s level and not to the level of the national economy are some important argues that sustain the necessity and the opportunity to move the economic thinking from the comparative advantage theory to the competitive advantage theory. In the past, the comparative advantage of an economy was given by the natural resources, by the geographical position or by the specific features of products or services. Nowadays the competitive advantage is created through innovation by all its forms.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 13078.

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Date of creation: Apr 2008
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Handle: RePEc:pra:mprapa:13078

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Keywords: innovation; comparative advantage; competitive advantage;

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