Business

Present-day research and development is a core part of the modern business world. Major decisions in firms are made based on research and development.

Research and development is of great importance in business as the level of competition, production processes and methods are rapidly increasing. It is of special importance in the field of marketing where companies watch competitors and customers closely in order to keep pace with modern trends and analyze the needs, demands and desires of their customers.

Unfortunately, research and development are very difficult to manage, since the defining feature of research is that the researchers do not know in advance exactly how to accomplish the desired result. As a result, higher R&D spending does not guarantee "more creativity, higher profit or a greater market share".