Introduction to new product development, Marketing Management

New product development: once a company has carefully segmented the market, chosen its target customers, identified their needs, and determined its market positioning, it is better able to develop new products. Marketers play a key role in the new product as compared working with R & D and others in every stage of development.

Meaning and definition: product planning is the first step to be taken by an enterprise. Product development is the next step to product planning. Product development is the process of finding out the possibility of producing a product. It includes the decision as to whether it would be feasible or not to produce the product and whether it would be profitable or not for the enterprise to do so.

According to the William J. Stanton, "product development encompasses the technical activities of product research, engineering and design".

According to the Limpson and Darling, "a product development involves the adding, dripping, and modification of item specifications in the product line for a given period of time, usually one year". A company can add new products through the developments. The route can take three forms. The company can buy other competitions, it can acquire patents from other companies, or it can buy a license from other company. The development route can take two forms. The company can develop new products in its own laboratories. Or it can contract with independent researches or new product development firms to develop specific new products.

Categories of new products:

1.       New to the world products: new products that create an entirely new market.

2.       New product lines: new products that allow a company to enter an established market for the first term.

3.       Additions to existing product lines: new products that products who provide improved performance or greater perceived value and replace existing products.

4.       Repositioning: existing products that are targeted to the new markets or market segments.

5.       Cost reductions: new products that provide similar performance at lower cost.      

Posted Date: 9/19/2012 6:08:03 AM | Location : United States







Related Discussions:- Introduction to new product development, Assignment Help, Ask Question on Introduction to new product development, Get Answer, Expert's Help, Introduction to new product development Discussions

Write discussion on Introduction to new product development
Your posts are moderated
Related Questions
how i prpear my assainment

A student can play 0,1, 2 hours of racquet ball on any given night. Construct a tree diagram to determine the number of ways that three night he can play for a total of five hours

Determine about the Industrial Goods   Goods meant for consumption or use as inputs in production of other products or provision of some services are called as 'industrial go

This assignment requires you to choose: a product and find a market to promote your product, or a market and analyse its needs and find a product to satisfy the

i need a plan for pop up shops in airports and hotels for cosmetic products, also budgeting for 2 years


What do you mean by business to consumer in e-commerce? B2C stands for Business to Consumer ; it is a type of e-commerce. It is where the consumer accesses the system of t

How is penetration pricing strategy give cost advantage over innovating firm? In the case to outlook penetration pricing strategy is more commercial than financial. It is more

what is the importance of branding policies in an organisation

Targeting strategies:  having segmented the market, the firm now has to choose its marketing strategies. There are three strategies to choose from: 1.       Standardization: i