introduction, growth, maturity, decline
Product Life Cycle Greater Comparative Advantage means faster growth
new product a good, service, or idea that is perceived by some potential customers as new
a modification of an existing product that sets one brand apart from its competitor
continuous innovation ex. a new toothpaste flavor
a modification of an existing product that sets one brand apart from its competitor
require minor changes in customer behavior.
dynamic continuous innovation
Ex. Bluetooth stethoscope
a totally new product that creates major changes in the way we live
discontinuous innovation Ex. Self driving car
, No discernible benefits
Poor match between features and customer desires
Overestimation of market size
Incorrect positioning
Price too high or too low
Why do new products fail? Inadequate distribution
Poor promotion
Inferior product
idea generation, idea screening, idea evaluation, development, commercialization
New Product Development Process
any series of firms or individuals who participate in the flow of products from pro
channel of distribution final user or consumer
direct channel a distribution channel in which producers sell directly to consumers
intermediaries are inserted between the producer and consumers and perform num
indirect channel channel functions
adjust the quantities or assortments of products handled at each level in a channel
regrouping activities distribution
Sorting separating products into grades and qualities desired by different target markets
Assorting putting together a variety of products to give a target market what it wants
Product Life Cycle Greater Comparative Advantage means faster growth
new product a good, service, or idea that is perceived by some potential customers as new
a modification of an existing product that sets one brand apart from its competitor
continuous innovation ex. a new toothpaste flavor
a modification of an existing product that sets one brand apart from its competitor
require minor changes in customer behavior.
dynamic continuous innovation
Ex. Bluetooth stethoscope
a totally new product that creates major changes in the way we live
discontinuous innovation Ex. Self driving car
, No discernible benefits
Poor match between features and customer desires
Overestimation of market size
Incorrect positioning
Price too high or too low
Why do new products fail? Inadequate distribution
Poor promotion
Inferior product
idea generation, idea screening, idea evaluation, development, commercialization
New Product Development Process
any series of firms or individuals who participate in the flow of products from pro
channel of distribution final user or consumer
direct channel a distribution channel in which producers sell directly to consumers
intermediaries are inserted between the producer and consumers and perform num
indirect channel channel functions
adjust the quantities or assortments of products handled at each level in a channel
regrouping activities distribution
Sorting separating products into grades and qualities desired by different target markets
Assorting putting together a variety of products to give a target market what it wants
