As the total number of companies increases rapidly means it is more important than ever to be imaginative, as industries are more competitive and growth forecasts are trending downward. It is becoming increasingly difficult to rely on aggregate growth, a company needs to stand out in order to succeed. Businesses must recognize external obstacles they may face and be ready to find creative solutions. They should be aware that even these solutions may lead to unexpected challenges, so a company must always be dynamic. One notable imaginative advancement that could present complications is artificial intelligence (AI). To capitalize on AI's benefits, businesses must restructure without losing the human element that defines them. Establishing a reliable process for generating new, imaginative ideas will enable business leaders to sustain and transform their companies into efficient, effective "imagination machines." The second chapter aims to define imagination within the context of the book, helping readers understand what it is, what it can do, and how it works. To the authors, imagination is primarily the ability to engage in counterfactual thinking - thinking beyond the boundaries of current reality to explore what might be possible. Imagination allows for not just the destruction of reality as we know it, but the capacity to build something new in its place. The authors note that its important imagination is grounded and takes into context the current reality. A good imaginative idea should be not only possible, but also worth exploring changing. The key to creating an effective imagination machine is the ability to harness ideas, moving them from the unreal to the real. The rest of the chapter outlines the life cycle of an idea over multiple steps, which will be explored in more detail in the following chapters.