Innovation, A Determining Factor In Economic Development

Transformations of the socio-economic environment have led to a radical change in models of economic and corporate governance, previously based on labor and capital in the knowledge-based economy. Nowadays, innovation has become an essential tool for improving living standards and can be a response to survival and growth, whether it is government, school, hospital, private company or even service. Although Romanian companies have a favorable environment for innovation, according to statistics at the European Union, small and medium enterprises have a 0 degree of implementation of innovation. Innovation is one of the determining factors in the evolution of modern society. ways to constantly innovate. For a long time, innovation was defined as a process of combining imaginations, which only fits the artistic imagination. But the creative process in science involves several syntheses in the field of ideas, of abstractions. Imagination is also shown by the choreographer, which can be seen even in the behavior of some athletes. So that today we can define the innovation as that psychic process whose result is the obtaining of some reactions, new psychic phenomena on a cognitive, affective or motor level.