Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
21 Cards in this Set
- Front
- Back
|
Product Failures
|
33%-90% of new products fail.
Primary reason for failure: inability to meet needs of the customer. This inability can come from: inadequate intelligence efforts, not staying with what firm does best, and not providing better value than competition. |
|
|
Primary reason for product failure
|
inability to meet needs of customer
|
|
|
Growth Vectors
|
Market Penetration
Market Development Product Development Diversification |
|
|
Market Penetration
|
Present Market Present Product
|
|
|
Market Development
|
New Market Present Product
|
|
|
Product Development
|
Present Market New Product
|
|
|
Diversification
|
NEw Market New Product
|
|
|
Idea Generation
|
Make sure all product ideas are available to company and have a chance to be heard or eval. Top management support is critical, 60-70 ideas to get one successful one
|
|
|
Idea Screening
|
Process is two-fold: eliminate ideas for new products that could not be profitable, expand viable ideas into full product concepts has 3 cat. of risk Strategic, market and internal
|
|
|
Three catagories of risk
|
Strategic Risk
Market Risk Internal risk |
|
|
Strategic risk
|
risk that involves the risk of not matching the role or purpose of a new product with a specific strategic need or issue of organization
|
|
|
Market Risk
|
Risk that a new product won't meet a market need in a value added , differentiated way
|
|
|
Internal risk
|
risk that a new product won't be developed within the desired time and budget
|
|
|
Project Planning
|
Product proposal is evaluated further, and respon. assigned. Team assesses proposal. Budget estab. Rough design features outlined. Plan written and given top management for decision
|
|
|
Product Development
|
Idea has been evalu. from marketing engineering and finan. perspectives. More research and testing needed. Product converted to finished good and tested. Develope report to management is prepared
|
|
|
Test Market
|
Submits product candidate for customer approval . No longer secret. Different test markets are used: Pseudo sales, Controlled sale, full sale, and national launch. Goal of test market is to evaluate and adju. strategy and Mark. mix
|
|
|
Pseudo Sales
|
Survey or pick items from make believe store
|
|
|
Controlled sale
|
spending for product under controlled conditions
|
|
|
full sale
|
fully market on limited basis
|
|
|
Commercialization
|
Product is fully launched. Emphasis placed on org. structure and management talent needed to implem. mark. strategy. Follow up on bugs, prod. costs, quality control. and invent. requir.
|
|
|
Time to market
|
elapsed time between product definition and product availability
|
