ABSTRACT
The digital revolution is often discussed in terms of, and linked to, the company’s ability to change in order to maintain its sustainable competitive advantage. The effects of the digital revolution forced changes in the company regarding its business operations. Its main problem is limited capacity of innovation. This article aims to explore how innovation can strategically improve efficiency and effectiveness business of a firm. A resource-based and market-based approach plays a role in the process of building innovation by taking internal and external factors into account. Innovation can be a source of sustainability in competitiveness.
