Challenges faced by a company in developing new products and services
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Transcript of Challenges faced by a company in developing new products and services
The Innovation Imperative
Innovative firms
Able to Identify and seize market opportunities
Create positive attitude towards innovation
Routinize the innovation process
Practice team work and
Allow their people to experiment and even fail
Companies that fail to innovate:
Existing offerings vulnerable to changing customer needs and tastes
Shortened product life cycles
Increased domestic and foreign competition
New Product Sucess
Incremental Innovation
Disruptive Technologies
Unique, Superior product
New Product failure
90% of experimental drugs are unsuccessful
FailureAn inevitablePart of discovery
Reasons for failure :Misinterpreted market research
Overestimates of market size
High development costs
Poor design or ineffectual performance
Incorrect positioning, advertising, or price
Insufficient distribution support
Competitors who fight back hard
Inadequate ROI or Payback
Additional reasons for failure
Shortage of important ideas in certain areasFragmented MarketsSocial, economic and government constraintsCost of developmentCapital shortagesShorter required development timePoor launch timingShorter product life cyclesOrganizational support
Image credits(Flickr users)
Diana Pinto
DANG3Rphotos
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