Strategic Elements of Product Development

Better Essays
New Product Development Process The new product development process is the second strategic elements of product development. It is important for company to manage their new product into the market. As stated by Cooper (1994), “a formal blueprint, roadmap, template or thought process for driving a new product project from the idea stage through to market launch and beyond” (p.3). Crawford and Di Benedetto (2011) also mentioned that the new product process is the way from idea to the period of establishing and beyond for a new product to go through. There are five phases that a new product has to go through. The first phase of the new product process is opportunity identification and selection. In this first phase, opportunities are being determined creatively. New products opportunities are being generated as spinouts of the current business operation, latest products suggestions, modification in marketing plan, alteration of resource and the demand in the marketplace (Crawford & Di Benedetto, 2011). In order to yield these opportunities, three main streams of activity are functioned as guidance to the company. The three main streams are ongoing marketing planning, ongoing corporate planning and special opportunity analysis. From these three activities, opportunities such as an underutilised resource, new resource, external mandate and internal mandate can be discovered. Then these opportunities are being examined comprehensively and completely in order to make sure that there is sales potential in the current market. All resources from the opportunities are being evaluated and defined carefully. After that the research opportunities are ranked and those that are conflicted with the new product innovation strategy are rejected. The most strategic opportunities are selected to lead into the next phase (Crawford & Di Benedetto, 2011). Sometimes, opportunity identification can be done quite well to figure out the demand of current market. But most of the time, it

You May Also Find These Documents Helpful

  • Powerful Essays

    The term ‘ new product ‘ is not as clear-cut as it may sound. There are differing degrees of newness. At one extreme there could be a new pack size or color of an existing product, while at the other extreme it could be a ground-breaking innovation that has never been seen before. Apple makes their own products, and order some materials like plastic , to crate their product, the 3D television. There is an eight-stage framework that can guide the new product development process.…

    • 3972 Words
    • 114 Pages
    Powerful Essays
  • Good Essays

    New product development- new product development is doing research and development on the product, for example researching the advantages and disadvantages on the previous product and seeing what improvements could be made. Developing new products is important as the store would get more customers as they would be interested in what’s new. Also its important researching what is most suited for customers as more people would be satisfied with the product.…

    • 764 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    - Product Development- product development is composed of existing markets and new products, it occurs when an organisation with a current or existing market undertakes a strategy of creating a new product which provides to the same market.…

    • 1425 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    The Strategic issue and impact of Product Development in an organization and global community in general.…

    • 795 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    PRODUCT DEVELOPMENT

    • 1649 Words
    • 7 Pages

    Meaning: Product development is the carried out after research which follows pure research. Development is the work contributing towards improvement in the existing knowledge by way of improved ideas, systems, techniques, etc.…

    • 1649 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    Resource-Based View

    • 943 Words
    • 4 Pages

    E.g. The product development process involves conceptualization, product design, pilot testing, new product launch in production, process debugging, etc.…

    • 943 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Many companies implement Stage-Gate or other forms of new product development processes that promise to accelerate growth while managing risk. Few, however, are satisfied with the output of their efforts. One potential reason for their dissatisfaction is the disconnection between their organization’s new product development (NPD) and strategy development processes. Without this connection, product development pipelines become stuffed with incremental extensions of existing products but void of breakthrough concepts. Is this your company? Ask yourself: • Is it easy for your colleagues to justify the strategic alignment of their new product concepts? between Apple’s new product pipeline for iPods and its overall strategy. Gary Getz is a California-based Managing Director and Pedro do Carmo Costa is the Iberian office Managing Director of Strategos, a strategy and innovation firm. Gary works with clients in industries from orange juice to computers, and from wireless communications to insurance on resolving their most significant business strategy, corporate growth, and customer and channel management issues. Pedro helps clients architecting and deploying industry revolutions that challenge the status quo and create opportunities for growth. For more information visit www.strategos.com or email them at ggetz@strategos.com and pccosta@strategos.com. Imagine that you were a top executive at Apple at the turn of the millennium and that you were presented with the opportunity of developing a Macintosh-only digital music player. Would you have devoted your company’s top engineers and designers to this roject? If you say no, you are not alone. On the surface, a Mac-only anything was going to be a small opportunity, and MP3 players were simply not core to computer makers. Therefore, most seasoned managers would…

    • 1335 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Prod Question 3

    • 1683 Words
    • 5 Pages

    Product development is the process of creating a new product to be sold by a business or enterprise to its customers.…

    • 1683 Words
    • 5 Pages
    Powerful Essays
  • Powerful Essays

    Product Design

    • 9891 Words
    • 40 Pages

    I will start off first with a very basic product development process flow. When a new product project is initiated, the steps entail defining the product concept, identifying consumer needs and product benefits, and determining the target consumer demographics. Finally, a key objective of the project is to make the…

    • 9891 Words
    • 40 Pages
    Powerful Essays
  • Powerful Essays

    Product Strategy

    • 25840 Words
    • 104 Pages

    • According to the existing literature, product/brand management is a system developed in 1927 by P&G, or maybe earlier. It took root mainly in the multiple products consumer goods companies. • The product management approach has long been one of the most widely used structural systems to organize the marketing effort and to assign responsibility to one person for the management of a product line or brand. • The product management system operates in the majority of all consumer packaged goods industries. A study indicates that 72% of consumer firms and 52% of the industrial firms were satisfied with the way the product…

    • 25840 Words
    • 104 Pages
    Powerful Essays
  • Better Essays

    Product development involved modification of an existing product or its presentation, or formulation of an entirely new product that satisfies a newly defined customer wants or market niche.There are two parallel paths involved in the product development process, one involves the idea generation, product design and detail engineering; the other involves market research and marketing analysis. Companies typically see new product development as the first stage in generating and commercializing new product within the overall strategic process of product life cycle management used to maintain or grow their market share.…

    • 1421 Words
    • 6 Pages
    Better Essays
  • Good Essays

    Product Strategy

    • 501 Words
    • 3 Pages

    From customers' perspective, the benefits of owning a Camaro 2010 are that it gives a customer the pleasure of owing a luxury car with an affordable price of approximately $22,995. The purchase of this product can also benefit customers by saving their budget on gas due to its high fuel-efficiency for a sport car. Since this will be a new release of Camaro in a long time, rumors are going around and playing a huge role in its advertisement. This has a positive effect on attracting one of our targets, young adults, who value on getting an attention of opposite sex by having something perceived as “cool”. They believe that being an owner of a new sport car helps them to enhance their image and status. Our second targets, baby boomers, those who are born in the mid to late 50s, want their cars to represent their social status while still being fun to drive. Camaro 2010, a sport car with a high driving performance, fulfills both of their wants. Our third segmentation, success hungers, is desperate for something that can bring up their reputation and self-esteem, such as a sport car, which represents their success.…

    • 501 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Product Development

    • 1562 Words
    • 7 Pages

    Technology is a key resource of profound importance for corporate profitability and growth. It also has enormous significance for the well-being of national economies as well as international competitiveness. Effective management of technology links engineering, science, and management disciplines to address the issues involved in the planning, development, and implementation of technological capabilities to shape and accomplish the strategic and operational objectives of an organization.…

    • 1562 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    New Product Development

    • 6933 Words
    • 28 Pages

    So this report is consisted on “new product developmetnt” and different stages of product making. Each stage of the product describes, prurposes of stage, and marketing information and methods used during the process.…

    • 6933 Words
    • 28 Pages
    Powerful Essays
  • Satisfactory Essays

    The product development process usually begins with the Commercial/Marketing Plan; the Marketing Segments team puts together a proposition, which results in a Product Concept developed by Products team. The Product Team documents with input from relevant stakeholders the Business Readiness Document (BRD). Using the BRD as a guide, all stakeholders perform their roles in the project i.e. research, product build, technical validation, UAT, etc. till product is launched. A final performance review determines whether product requires enhancements or the process should proceed to ‘Product life cycle Management’.…

    • 512 Words
    • 3 Pages
    Satisfactory Essays

Related Topics