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Why wouldn't it work?
I don't think that socialism offers people enough incentive to innovate and improve, because it greatly limits the possible reward. I'm all in favour of regulating capitalism to protect the lower classes though, I don't want to be enslaved by the likes of amazon either.
Capitalism is barely a few hundred years old. Invention is as old as human history. The Soviet's despite the brutal social oppression and mass murder. Beat us at every step of the space race save for the last. Researched and discovered a number of the elements of the periodic table. And many many more things.
That you think people invent things only looking for a reward or payout. Really screams that you don't understand inventors or invention. Nikola Tesla one of the greatest inventors of the 20th century. Died destitute chasing his inventions, with little focus on getting paid.
I could go on. But I hope reality and history generally disagreeing with you is enough to make you reevaluate the propaganda. You've been inundated with all your life. Capitalism does little to actually help invention. And people would do it even if they never got paid.