1. Presented by :- AKANKSHA SINGH
Enrollment no. 35
M.B.A (General) 1st semester - A

2. INTRODUCTION
Development of new products is a continuous Function of marketing
management in the Present – day environment. The products offered by a
firm to the customer must be suitable to meet the changing needs of the
customers. The life of the firm is closely related to the development of new
products through technological innovations. The technological innovations
are important to the growth of the established business as well as to the
development of new business. Businessmen must make a detailed study of
the market in relation to the products because “NEW PRODUCT MEANS
NEW PROFIT”.

3. New product development consists of the creation of new ideas, their
evaluation in terms of sales potentials & profitability, production
facilities resources available, designing & production testing &
marketing of the product.
Product development includes a number of decisions, namely,
•What to manufacture or buy,
•How to have its packaging,
• How to fix its price &
•How to sell it.
The main task of product planners is to identify specific customer
needs & expectations & align company’s capabilities with the
changing market demands.

4. The main task of product planners is to identify specific
customer needs & expectations & align company’s capabilities with
the changing market demands. In each of these stages, the
management must decide:
•Whether to move on to next stage
•To abandon the product
•To seek additional information

5. GENERATION OF NEW IDEAS
SCREENING OF IDEAS
COMMERCIAL FEASIBILITY
PRODUCT DESIGNING & EVALUATION
TEST MARKETING
LAUNCHING THE PRODUCT

6. SYMPTOMS
DECLINING SALES VOLUME
DECLINING PROFIT MARGINS
HIGHER THAN EXPECTED COSTS

7. Conception of product idea may be faulty
Design of product may not match with needs of customers
Cost of production may be higher than expected cost
Market changes may not be understood properly
Inadequate promotion
Faulty pricing of the product
Poor packaging, inappropriate size, etc
Products may be introduced in the market untimely