The paper "The Investment Theory of Creativity" is a good example of business coursework. Creativity and innovation are one of the most applied competitive advantage strategies in most of the successful organizations across the globe. As well, creative and innovative entrepreneurs are the people that have driven the world towards success. The main reason is that they create new products, services, organizations, and ventures. According to Martins & Terblanche, “ creativity is the power of the imagination to break away from the perceptual set so as to restructure or structure ideas, thoughts, and feelings into a novel and associative bonds” (Martins & Terblanche, 2003).
Several research studies and theories have been formulated to understand the nature of creativity and innovation. As such, two main researchers played a vital role in the success of such studies. These researchers are J. P. Guilford (1950) and E. Paul Torrance (1962, 1974). One of the main issues that the duo researched is the nature of creativity and how to measure it. Both were great thinkers and emphasized on measuring creativity on a psychometric point of view (Agbor, 2008). The Investment Theory of Creativity One of the most significant theories of creativity is the investment theory of creativity.
The theory states that creative people are the people who can buy low and sell high. In this case, buying low is used to refer to the situation of pursuing ideas that are unknown but of potential growth. However, several challenges are encountered when dealing with such innovative and creative design in an organization. The most common problem faced is resistance. People in an organization tend to resist anything that is new for fear of the unknown and other reasons.
However, the creative and innovative individuals are expected to be persistent with an objective of selling high (Wilson & Brown, 2015). Aspects of Creativity and Innovation Mind Map 1 There are six most important aspects of the investment theory that are worth discussing. The first aspects are intellectual skills. Some key advantages are associated with having high intellectual skills. It enables an individual to view things in different dimensions and avoid seeing things in a conventional way. The second way is that it gives a person the analytical skills to be in a better position to analyze the best ideas to pursue.
As well, the theory gives a person the practical skills to be able to persuade others in the organization to accept and support their innovative ideas. A creative and innovative individual should be in a better position to depict the three most important confluent skills. When the analytical skills alone are used, the ideas developed will not be sufficiently creative. On the other hand, the application of synthetic skills alone will lead to the development of ideas that are not fully scrutinized and will be difficult to improve in the future (Agbor, 2008). The second aspect of creativity and innovation is knowledge.
An individual should have enough information about the field being innovated. Knowledge is essential since it enables the individual to advance the concepts and the ideas that are viewed as common. The third aspect of creativity is thinking skills. One of the most preferred thinking styles is the legislative one since it is elemental in decision making. Creative people should be in a better position to make informed and timely decisions to ensure that the best ideas in an organization are implemented.
Fourthly, creativity is fostered by a person’ s personality (Wilson & Brown, 2015). Some key attributes are necessary for effective creative and innovative thinking. One of the common attributes is the willingness to overcome obstacles internal or external to the organization. The second attribute is the ability to take sensible risks since the field of creativity is considered as very risk-prone. For instance, a company may risk a lot of resources for developing new products.
In a situation, they are not sure if the will get the customers and thus may end up in losses. However, creative and innovative managers will take such risks without fear of the risks that may be encountered. In addition to the above, creative people often seek opposition in that they decide what others find it conflicting.
Agbor, E. (2008). Creativity and innovation: The leadership dynamics. Journal of Strategic Leadership, 1(1), 39-45.
Martins, E. C., & Terblanche, F. (2003). Building organizational culture that stimulates creativity and innovation. European journal of innovation management, 6(1), 64-74.
Matthews, Judith H. (2007) Creativity and Entrepreneurship: Potential Partners or Distant Cousins? In Chapman, Ross, Eds. Proceedings Managing Our Intellectual and Social Capital: 21st ANZAM 2007 Conference, pages pp. 1-17, Sydney, Australia.
Sternberg, R. J. (2006). The nature of creativity. Creativity Research Journal, 18(1), 87-98.
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Wilson, C., & Brown, M. (2015). Ambiguity, uncertainty and new realities: perspectives of creative value, utility and authenticity. KIE Conference Publications.