An innovation-focused firm spends more on __________ compared to the average firm?

An innovation-focused firm typically invests more in strategic systems compared to the average firm. Strategic systems are crucial as they provide a competitive advantage by enabling the firm to implement innovative strategies and adapt quickly to market changes. These systems support long-term goals and create frameworks for new product development, market analysis, and strategic planning.

Investments in strategic systems help organizations identify emerging trends, optimize processes for innovation, and effectively allocate resources to areas that foster growth and creativity. This approach allows the firm to stay ahead of competitors and meet customer demands more effectively, thereby driving overall business success.

While transactional systems are important for day-to-day operations and efficiency, they do not focus primarily on innovation. Similarly, firm-wide infrastructure and informational systems, while essential, do not hold the same direct impact on an organization’s ability to innovate and generate strategic advantages in the market. Therefore, the emphasis on strategic systems highlights the priority of innovation in such firms.