Chapter 10: New-Product Development and Product Life-Cycle Strategies Flashcards
Idea Generation
The systematic search for new-product ideas.
New-Product Development
The development of original products, product improvements, product modifications, and new brands through the firm’s own product development efforts.
Crowdsourcing
Inviting broad communities of people - Customers, employees, independent scientists and researchers, and even the public at large - into the new-product innovation process.
Idea Screening
Screening new-product ideas to spot good ideas and drop poor ones as soon as possible.
Product Concept
A detailed version of the new-product idea stated in meaningful consumer terms.
Concept Testing
Testing new-product concepts with groups of target consumers to find out if the concepts have strong consumer appeal.
Marketing Strategy Development
Designing an initial marketing strategy for a new product based on the product concept.
Business Analysis
A review of the sales, costs, and profit projections for a new product to find out whether these factors satisfy the company’s objectives.
Product Development
Developing the product concept into a physical product to ensure that the product idea can be turned into a workable market offering.
Test Marketing
The stage of new-product development in which the product and its proposed marketing program are tested in realistic market settings.
Commercialization
Introducing a new product into the market
Customer-Centred New-Product Development
New product development that focuses on finding new ways to solve customer problems and create more customer-satisfying experiences.
Team-Based New-Product Development
An approach to developing new products in which various company departments work closely together, overlapping the steps in the product development process to save time and increase effectiveness.
Product Life Cycle (PLC)
The course of a product’s sales and profits over its lifetime. It involves five distinct stages: Product development, Introduction, Growth, Maturity, and Decline.
Style
A basic and distinctive mode of expression.
