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Strategies for Developing New Products

13 May, 2016 - 13:23

For several decades, business has come increasingly to the realization that new and improved products may hold the key to their survival and ultimate success. Consequently, professional management has become an integral part of this process. As a result, many firms develop new products based on an orderly procedure, employing comprehensive and relevant data, and intelligent decision making.9


  1. A product is anything, either tangible or intangible, offered by the firm as a solution to the needs and wants of the consumer, that is profitable or potentially profitable and meets the requirements of the various publics, governing, or influencing society. There is a core product, a tangible product, an augmented product, and a promised product.
  2. Consumer goods are purchased for personal consumption.
  3. Industrial goods are modified or distributed for resale.
  4. Service products, in contrast to goods product, are characterized as being intangible and having simultaneous production/consumption, little standardization, and high buyer involvement.
  5. The product plan process includes the following:
a. determination of product objectives,
b. development of product plans to reach objectives,
c. development of appropriate strategies.