169
Innovation, Productivity, and Costs Rule Business
To remain in business, firms must innovate not only by improving the products they make but also by controlling their costs. Controlling costs is done by introducing new technologies in production and increasing productivity. This holds for the service sector as well.
The cost of industrial robots has fallen over 60% since 1994.
Labor productivity has doubled since 1994.
Businesses face a relentless need to lower costs, which has changed the way we live and travel. The percentage of travelers purchasing airline tickets and checking in online highlights this trend.