BU352 Chapter Notes - Chapter 8: Test Market, Marketing Mix, Market Saturation
Document Summary
Product- anything that is of value to a consumer an can be offered through a marketing exchange. New market offerings provide value to both firms and customers. Completely new-to-the-market products represent fewer than 10 percent of all new product introductions each year. Innovation the process by which ideas are transformed into new products and services that will help firms grow. Without innovation and its resulting new products and services, firms would have only two choices: continue to market current products to current customers or take the same product to another market with similar customers. The longer a product exists in the marketplace, the more likely it is that the market will become saturated. Without new products or services, the value of the firm will ultimately decline. Through innovation, firms often create a broader portfolio of products, which helps them diversify their risk and enhance firm value better than a single product can.
