Innovation Management
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Innovation Management

Perspectives from Strategy, Product, Process and Human Resources Research

Edited by Vida Škudienė, Jason Li-Ying and Fabian Bernhard

Offering a conceptual framework that integrates strategy, product, process and human resource research, this timely book interrogates these four critical and interrelated areas of innovation management. Chapters examine new insights into the latest trends in the field, providing a holistic view into key management strategies that benefit both up-and-coming and established businesses.
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Chapter 6: Innovation and financial performance in telecommunication companies

Asta Klimaviciene and Sarunas Sereika

Abstract

Exploring the link between innovation and financial performance, this study focuses on financial measures that are commonly used by investors and financial analysts. Most of them are profitability ratios that can be calculated from the financial statements of a company, such as return on equity (one of the key financial ratios for shareholders), return on assets and operating margin. Successful product innovation management requires a strong market orientation providing high quality products consistent with customers’ needs, attractive price and innovative product features. The results may be useful for researchers and managers of firms operating in a similar industry in order to determine key performance indicators for both innovation and profitability measures.

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