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2.3: NEW PRODUCT DEVELOPMENT PROCESS
IDEA GENERATION :
Search for new-product ideas that can full fill
needs and want of the customer
Has to generate many ideas to find a few good
ones.
New-product ideas can come from interacting
with various groups & from using creativity-
generating techniques
Sources: inside & outside (customers, scientists,
competitors, employees, channel members & top
management)
IDEA SCREENING:
The purpose of screening is to drop poor ideas
as early as possible
Proceed with product ideas that will turn into
profitable products.
The company must avoid 2 types of errors :
DROP-error: the company drop a good idea
GO-error: the company choose a poor idea
CONCEPT DEVELOPMENT &TESTING:
Attractive ideas must be refined into testable
product concepts.
Product concept: An elaborated version of the
idea
Concept testing: Involves presenting the
product concept to target consumers and
getting their reactions
Concept testing entails presenting consumers
with an elaborated version of the concept