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discuss issues related to new product development, including the stages of…

- - - - Typical causes of failure are as follows:
        Developing the wrong product or service—inadequate product or service for market requirements, or the product or service is overtaken by technology or competitor products. Inadequate planning and control—cost overruns, poorly designed or incorrectly designed products or services, and overpriced products or services. Schedule delays—missed window of opportunity because of poor timing. Performance issues—the final product or service developed does not meet customer requirements or expectations. WIPS
    - - Benefits:
        By being successful in new product development, organisations can significantly outperform other businesses in terms of revenue contribution to growth and development productivity. New products may also be able to attract higher prices and profit margins, depending on their benefits over existing products.
      - Key success factors
        ATEMU
        Understanding what customers need and value
        • The earlier customers are brought into the product development process, the more value they can provide by identifying unmet needs and adapting these to the products or services at hand
        • Attention to market launch and publicity:
        •
        Efficiency of product development
        Effective use of outside technology and communication, such as social media
        Commitment and involvement of top management
    - - Recognise that all risks are not equal. Be judicious with capital. Manage experiments efficiently by testing one idea at a time and strictly enforcing the designated time. This also involves applying lessons learned Prioritise tasks (highest chance of negative impact, highest potential growth) and approach them systematically. ReJcMePT
- - - - This strategy is a response to high-value innovations being reverse engineered in locations with much lower costs of production, and subsequent flooding of the market with cheaper versions of the new product. While the originator of the product may not yet have been able to realise the economies of scale, the cheaper version of the product would have already done so.
- - - - Protecting IP rights:
        Counterfeit products: the mass consumer goods market is subject to counterfeiting. Pharmaceutical industry
        
        For example, in the pharmaceutical industry it is common for pharmaceutical organisations to have multiple layers of patents on a product. Termed primary, secondary and sometimes even tertiary patents, such patent protection acts as a strong deterrent to competitors.
- - - - customers to directly influence the product development. In this situation, the initial idea of a new product is released on the internet to the crowd of potential consumers. If enough people or potential customers indicate that they believe such a product will be useful or successful
        (by contributing ideas or money towards its development), the project is started.
        
        This approach creates a ready customer market for a product and may lead to deeper engagement with the company and the product being created.
      - Benefit of Rapid development:
        
        Speed of development to gain first mover advantage
        
        Low initial cost of developing a new product
        
        Product modification to suit customer needs earlier rather than later in the project
        SLM