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There are two types of innovation. One is continuous innovation where products are so similar to existing items that they require no major change in the consumers’ behavior (Chicken Soup for the Entrepreneur’s Soul vs. Chicken Soup for the Pet Lover’s Soul). The other innovation is discontinuous, or one that significantly alters the usage patterns, such as moving from retailing to etailing, or moving from books to ebooks. Generally, marketing continuous innovations is less expensive than marketing discontinuous innovations.

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