COMMERCE 2MA3 Chapter Notes - Chapter 8: Technical Support, Reverse Innovation, Marketing Mix
9 Nov 2017
School
Department
Course
Professor
Document Summary
New market offerings provide value to both firms and customers. The degree to which they do so depends on how new they really are. Completely new-to-the-market products represent fewer that 10 percent of all new product introductions each year. Regardless of where on the continuum a new product fits, firms have to innovate. Innovation is 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. Although innovation strategies may not work in the short run, overriding long- term reasons compel firms to introduce new products and services. 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.
