development

Examples of development in the following topics:

• Development

  • Development involves setting product specifications as well as testing the product with intended customer groups to gauge their reaction.
  • Technical development involves two steps.
  • The first is the applied laboratory research required to develop exact product specifications.
  • The second aspect of market development involves consumer testing of the product idea.
  • Describe the steps involved in the technical and marketing development stages of new product development

• New Service Development

  • The new service development process involves recognizing chances and opportunities in a fast changing technological environment.
  • When splitting service development into two parts, we have "service" and "development. " The first things that come into mind when looking at service are: economics, finance, managerial activities, competition, prices, and marketing.
  • Service development is mostly seen as growing an enterprise through a number of techniques.
  • Innovative technology provides important opportunities for new service development.
  • These decisions should be made by involving the research and development staff, purchasing staff, and marketers.

• Strategy

  • A good NPDS can help organize research, prioritize customer needs, and reduce cost overruns, to ensure a smooth development process.
  • Flexible product development is the ability to make changes in the product being developed or in how it is developed, even relatively late in development, without being too disruptive.
  • Flexibility is important because the development of a new product naturally involves change from what came before it.
  • The more innovative a new product is, the more likely it is that the development team will have to make changes during development.
  • Flexible development counteracts the tendencies of many contemporary management approaches to plan a project completely at its outset and discourage change thereafter.

• Organizational Requirements for Product Development and Management

  • Product development combined with product marketing make up the product management function within an organization.
  • A product manager investigates, selects, and develops one or more tangible products for an organization.
  • In some companies, the product management function is the hub of many other business activities around the development and launch of a product.
  • Often, product management professionals serve as the middlemen between product development and engineering and marketing and sales teams.
  • They often translate business objectives set for a product by marketing or sales into engineering requirements for product development.

• Idea Generation

  • Innovation is crucial for the development of successful new products.
  • Discussed below are five crucial sources of innovation: technical breakthrough, non-technical idea development, environment, serendipity, and purposeful development.
  • Technical breakthroughs refer to product innovations that result from technical developments.
  • Purposeful development occurs when there is a strong need for certain goods or services.
  • Being innovative is key to generating new ideas in product development.

• Product Orientation

  • This approach stresses the research and development of products and the continuous evolution during their life cycles , in order to maintain the attention of potential customers.
  • Under the product orientation, management focuses on developing high quality products which can be sold at the right price, but with insufficient attention to what it is that customers really need and want.
  • Adopting the product orientation can be advantageous to a company, due to the fact that the cost of determining consumer preferences and the development of new products and services are minimized or eliminated because consumers are in some way captive.
  • Product orientation assumes a developing or closed economy where few, if any, choices are available.
  • Companies adopting a product orientation of marketing focus on product quality and therefore emphasize research and development.

• Ansoff Opportunity Matrix

  • Market development - This growth strategy uses existing products to capture new markets.
  • Product development - This growth strategy uses new products in the existing market.
  • While market penetration may come with the lowest risk, at some point the company will reach market saturation with the current product and will have to switch to a new strategy, such as market development or product development.
  • Market development targets non-buying customers in currently targeted segments.
  • Before developing a new market, companies should think about the following: Is it profitable?

• The Service Economy

  • This is primarily due to the increasing importance and share of the service sector in the economies of most developed and developing countries.
  • Economic history tells us that all developing nations have invariably experienced a shift from agriculture to industry and then to the service sector as the mainstay of the economy.
  • As their economies continue to develop, the importance of the service sector continues to grow.
  • The service economy in developing countries is most often made up of the following industries: financial services, tourism, distribution, health, and education.
  • Define the role of a service economy in developed and developing countries

• The Product Life Cycle

  • Product development and product life cycles go hand-in-hand.
  • It is important that businesses continually develop new products to replace those that are declining.
  • For example, consider the product development and life cycle of a video game.
  • Often the games take 2 to 4 years to develop.
  • A company must succeed at both developing new products and managing them in the face of changing tastes, technologies and competition.

• Are Global Corporations Beneficial?

  • If successful, these both result in positive effects on the income statement (either larger revenues or stronger margins), but contain the innate risk in developing these new opportunities.
  • For example, Nike had its brand image hugely damaged through utilizing 'sweat shops' and low wage workers in developing countries.
  • Maintaining the highest ethical standards while operating in developing countries is an important consideration for all MNCs.
  • International expansion requires enormous capital investments in many cases, along with the development of a specific strategic business unit (SBU) in order to manage these accounts and operations.
  • Opponents argue that the expansion of global trade creates unfair exchanges between larger and smaller economies, arguing that developed economies capture significantly more value because of financial leverage.