18.1. Premise 1: Innovation Matters

Innovation is critical to growth. There is no such thing as a mature business; every business must find ways to grow and expand its products, services, and reach. Innovation focuses on share of opportunity—it's about what can be, more than about market share or what has been. Innovation focuses on creating the future rather than relying on past successes. Innovation matters because it fosters growth; it excites employees by focusing on what can be; it anticipates customer requests and delights customers with what they did not expect; it builds confidence with investors by creating intangible value.

Leaders who focus on innovation constantly ask, "What's next?" in all domains of their business. They recognize ...

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