New Product Development Of New Products

1341 Words Oct 22nd, 2016 6 Pages
New Product Development

Launching a new product is an important part for a company’s growth strategy. New products create an opportunity for additional products to be available and to be purchased by a company’s customers and has the potential to create new customers or to enter a new market. New products have been successful because a company identified a need in the market. However, this process may lead to additional costs, and time consuming activity for a company’s personnel. A company should ask if the risk will outweigh the rewards. To successfully launch a new product a structured development process should be in place (Linton).

Generating
Ideas for new products are generated from brainstorming sessions, from a need that has developed in the market or a response from a competitor. Ideas can come from varied sources within a company, but they should always meet the needs of the customers. If the product doesn’t meet the needs of a customer, this can lead to costly mistakes by the company. Development of new products is not a simple task. New product development requires attention to the future needs of the customers and requires monitoring of a company’s competition. If a company is expanding globally, a problem the company may encounter is if the product works here in the United States but may not necessarily translate into success in another country. Recognizing and promoting ideas of innovation are important when creating new ideas within a company.…

More about New Product Development Of New Products

Open Document