MGMA01H3 Chapter Notes - Chapter 10: Business Analysis, Crowdsourcing, Marketing Strategy
Document Summary
Firm can obtain new products in two ways: acquisition buying a whole company to produce someone else"s products, new-product development. New-product development development of original products, product improvements, product modifications, and new brands through the firm"s own product development efforts: lifeblood of many firms. New products are important to both customers and marketers: customers they bring new solutions and variety to their lives, companies new products are a key source of growth. Many new products fail because: company may overestimate market size, actual product may be poorly designed. Companies must carry out strong new-product planning and set up a systematic, customer-driven new-product development process for finding and growing new products. Idea generation the systematic search for new-product ideas. Using internal sources, company can find new ideas through formal r&d. Many companies have developed successful internal social network and intra-preneurial program that encourage employees to develop new-product ideas.
