Innovation transforms ideas or resources into practical applications, leading to new products and services. The decision-making process involves five stages: knowledge, persuasion, decision, implementation, and confirmation. Knowledge entails understanding the innovation; persuasion shapes attitudes towards it based on its perceived attributes such as relative advantage and compatibility. Decision is about choosing whether to adopt or reject the innovation; implementation occurs when it's put into use while reinvention may happen at this stage too. Confirmation solidifies the choice made but can also lead to reconsideration if conflicting information arises.