Short Course on Planning – Getting to Square 1
July 30, 2019
Innovative Business Ideas Leading to the Development of a New Product
Developing the business idea is a difficult venture. Most entrepreneurs are faced with the challenge of new product development. The problem seems to worsen to an entrepreneur while struggling with how the product may competitively enter the market. The Main aim of this article is to outline a process of developing a new product competitively.
New product development is the procedure through which a service or product journeys to the market from manufacturing or ideation. It is important to know that some ideas get choked along the process of development and they die. Poor development processes occasion this. The procedure includes basic steps as highlighted below.
Idea generation is basic as step number one. It is prudent to brainstorm and come up with a creative business idea. The idea should be original in its creativity. The process begins with identifying a market gap and creating a product or service to fill it. The concept may not imply that its new rather a creative improvement of the existing one. The modification should consider the customers and the general market at large.
Idea evaluation stands at the second stage. Successful idea evaluation should see what the problem with the previous ideas is. Evaluation stage should bring into concerns factors such as; consumer behavior, technical feasibility, and market potential. SWOT analysis is important at this stage to scheme for the strengths and weaknesses of an idea.
After evaluation, you ought to carry out the definition of the concept holistically which should include giving exact units of the product design, the production budget, and market coverage. The stage includes relevant research and inquiry of the market. Research directs the entrepreneur into the market dynamics and excavates answers to some pining issues. Does the product satisfies the need in the market? Finding out the relationship of the products with others in the market in terms of their prices is directive. Success can be foretold here with the answers to the research questions.
A strategic analysis enables us to develop a working matrix of the product. The pressure to determine the market price, costs, and the profit is only quenched by strategic planning.
Product testing is at the fifth stage of your product development process. It involves fully defining the concept according to the customers’ view. The rationale of this stage is to state the most useful features of the product to the customer.
The new product development process closes with Product and market testing, commercialization and product launch as the final stage. Accord you product a market transforming touch just through this process outlined.