How does research help in product planning development and value addition?

How does research help in product planning development and value addition?

Product research provides information on the specific and required characteristics of a service or a product. It helps companies to understand the needs of the customers in a much better way so that the required product can be tailored appropriately. This research can also help in filtering new ideas for the products.

What is the role of research in creating or developing new products?

Product research is a vital part of new product development. At every stage of the process, research can help you identify key issues and avoid expensive mistakes. Initial product research can be used to evaluate new ideas.

Why research is important prior to launching a product?

Conducting market research prior to a product launch allows you to connect with your customers in new ways. Rather than waiting to hear about how your product is performing after it has been introduced, prior research gives you insight into how the product may fare in current conditions.

Why is it important to do research on the requirement of your product in the market?

Market research can identify how customers and potential customers might view your business and identify gaps in customer expectations. This is powerful information to have when completing your marketing strategy. Having good market intelligence helps to minimise risks when making key business decisions.

Why is product line important?

Product lines are created by companies as a marketing strategy to capture the sales of consumers who are already buying the brand. Product lines can vary in quality, price, and target market. Companies use product lines to gauge trends, which helps them to determine which markets to target.

What are the 4 product line expansion?

Minimizes Risk Virtually all products have a life cycle comprising four phases: launch, growth, maturity and decline. The launch and growth phases are represented by a surge of sales, but eventually, the product wears out. This happens for all sorts of reasons – changing trends, competition and obsolescence.

What are the important product mix and product line decisions?

Four important dimensions of a product mix can be identified. These are: width, length, depth, and consistency. The first of the product mix decisions refers to the product mix width. The width is all about the number of different product lines the company carries.

What are four reasons for expanding a product line?

Four reasons to expand a product line are to build on an already established image, to appeal to new markets, to increase sales and profits, and for the company to be seen as an innovator in the field.

What are the 4 growth strategies?

There are four basic growth strategies you can employ to expand your business: market penetration, product development, market expansion and diversification.

How do you introduce a new product?

5 Best Practices for New Product Introduction

1. Determine Your USP. Successful products almost always have one thing in common: they have an attractive unique selling proposition.
2. Define Your Target Audience.
3. Get Your Whole Team’s Buy-In.
4. Time Your Launch Right.
5. Diversify Your Marketing Strategy.

What are the four product market growth strategies?

The Product Market Expansion Grid offers four main suggested strategies: Market Penetration, Market Development, Product Development, and Diversification.

What do you mean by market P * * * * * * * * * *?

Market penetration is a measure of how much a product or service is being used by customers compared to the total estimated market for that product or service. Market penetration also relates to the number of potential customers that have purchased a specific company’s product instead of a competitor’s product.

What is Coca Cola growth strategy?

Hard goals. In terms of its growth strategy, which is their market position in the beverage industry, Coca Cola Company is concentrating in opening more opportunities in developing markets by leveraging the scale & reach of the Coca Cola system to shape & capture value.

What are the various types of growth strategies?

The four main growth strategies are as follows:

• Market penetration. The aim of this strategy is to increase sales of existing products or services on existing markets, and thus to increase your market share.
• Market development.
• Product development.
• Diversification.

What are internal growth strategies?

Internal growth strategy refers to the growth within the organisation by using internal resources. Internal growth strategy focus on developing new products, increasing efficiency, hiring the right people, better marketing etc.

What is turnaround strategy?

Turnaround strategy is a revival measure for overcoming the problem of industrial sickness. It is a strategy to convert a loss making industrial unit to a profitable one. Turnaround is a restructuring process that converts the loss-making company into a profitable one.

Is stability really a strategy?

Stability Strategy is a corporate strategy where a company concentrates on maintaining its current market position. A company that adopts such an approach focuses on its existing product and market. But, this strategy is useful only if there is a simple and stable environment.

Which is the major reason for stability strategy?

Reasons for adopting stability strategies:- Firms adopt the stability strategies due to the following reasons: Manager of small businesses desire a satisfactory level of profit rather than increased profit. Maintenance of status quo involve less risk than a more growth strategy.

Which companies use stability strategy?

Examples of Stability strategies Steel Authority of India has adopted stability strategy because of over capacity in steel sector. Instead it has concentrated on increasing operational efficiency of its various plants rather than going for expansion. Others industries are ‘heavy commercial vehicle’, ‘coal industry’.

What is no-change strategy?

Definition: The No-Change Strategy, as the name itself suggests, is the stability strategy followed when an organization aims at maintaining the present business definition. Generally, the small or mid-sized firms catering to the needs of a niche market, which is limited in scope, rely on the no-change strategy.

Which strategy reverses the process of decline?

When an organization chooses to focus on ways and means to reverse the process of decline, it adopts a turnaround strategy.

What is the starting point of strategic intent?

Vision is the starting point of strategic intent. The fundamental purpose of strategic planning is to align a company’s mission with its vision.

Which is highly common intensification strategy?

Intensification growth strategies involve achieving greater sales through increased market share. Intensification strategies can be separated into three separate types. Market penetration strategy is a type of intensification strategy that involves increasing market share in existing markets.

Which is the major reason for retrenchment turnaround strategy?

This strategy is often used in order to cut expenses with the goal of becoming a more financial stable business. Typically the strategy involves withdrawing from certain markets or the discontinuation of selling certain products or service in order to make a beneficial turnaround.

Which is a planned strategy?

Planned strategy is based around a formal process of setting corporate objectives and developing a coherent business strategy designed to achieve those objectives with the resources available. Planned strategy is, therefore, the formal business planning process that is outlined in all the business textbooks.

What is diversification strategy?

A diversification strategy is the strategy that an organization adopts for the development of its business. This strategy involves widening the scope of the organization across different products and market sectors. Diversification strategy is a form of growth strategy which helps the organizational business to grow.

What are the two types of diversification strategies?

Diversification Strategies

• Concentric diversification. Concentric diversification involves adding similar products or services to the existing business.
• Horizontal diversification. Horizontal diversification involves providing new and unrelated products or services to existing consumers.
• Conglomerate diversification.

What is the best diversification strategy?

The best way to diversify your portfolio is to invest in four different types of mutual funds: growth and income, growth, aggressive growth and international. These categories also correspond to their cap size (or how big the companies within that fund are).

What are the three types of diversification?

There are three types of diversification: concentric, horizontal, and conglomerate.

• Concentric diversification.
• Horizontal diversification.
• Conglomerate diversification (or lateral diversification)