Entrepreneurship unit 4
4.1 introduction
Product / service development
process of bringing new product or service in the market , it's on going b/c the
entire business seek opportunities, then new product will provide growth to
strengthen their market position.
Involves : idea generation, product design, and detail engineering; and also
involves market research and marketing analysis.
Intense global competition, short product and technology lifecycles,
unpredictable consumer buying patterns and possible market stagnation
makes it a critical activity in most businesses.
4.2 The concept of product / service
It's difficult to identify a new product/service or market opportunity
To start and expand small venture, first , identify opportunity then as the
venture grows , different management skills is needed and entrepreneurial
spirit ( corporate entrepreneurship) occurs.
Entrepreneurs like Richard China or Mal Mixon, CEO of Invacare,
understands this axiom and effectively manages change by continually
adapting.
Organization's success is dependent on customer satisfaction and delight
which is achieved through the development of product and service.
A success product or services do not only have an attractive package
design but should be also able to provide robust performance.
The essence of product design is to satisfy customer and maximizes the
value for the customer at minimum cost.
The merchandise or service should also be able to meet primary needs and
desire of the customer. ( This may not require the development of new
service)
The goal is to create products/services by identifying an emerging trend
and match it with the right technology and understanding of the purchasing
Entrepreneurship unit 4 1
, dynamics. Eg.smaller , efficient, intelligent coupled w/ leaner approaches to
the operation.
A successful startup depends on its distinctive and compelling proposition.
( To stand out and are compelling to the young company‘s customers.)
service will succeed most if it either eliminates an existing pain or adds
significant tangible benefits.
“anyone can be successful by simply working on any given idea or
opportunity”- false . B/c - experienced operators will run into unexpected
troubles and Novices( in experienced ) generally introduce more problems
than they can deal with, which undercuts their ability to be lean, fast or
effective.
4.3 Product/Service Development Process
After opportunity is selected and business model is designed then develop
a product / service ( commercial version off oppo)
A successful business is measured by it's ability to develop or improve
products more than customers expect. ( Palgrave )
Is process where companies react to market signals, respond to customer
demand, adopt new technologies, foray into new areas, and ensure
continuous growth.
It is a core process in achieving strategic objectives, renewal of the
company business model and deterring competition from displacing the
company from its market position.
Is a part of new venture creation process
Has 4 main stages of product generation : fig on page 94
stages of new product development process:
1. New idea generation
Search for ideas b/c The key to successful entrepreneurship is to develop
an idea that has a market for the new product/service idea conceived.
Source of ideas: consumers, existing products and services, distribution
channels, the federal government, research and development.
2. Idea screening
Entrepreneurship unit 4 2
4.1 introduction
Product / service development
process of bringing new product or service in the market , it's on going b/c the
entire business seek opportunities, then new product will provide growth to
strengthen their market position.
Involves : idea generation, product design, and detail engineering; and also
involves market research and marketing analysis.
Intense global competition, short product and technology lifecycles,
unpredictable consumer buying patterns and possible market stagnation
makes it a critical activity in most businesses.
4.2 The concept of product / service
It's difficult to identify a new product/service or market opportunity
To start and expand small venture, first , identify opportunity then as the
venture grows , different management skills is needed and entrepreneurial
spirit ( corporate entrepreneurship) occurs.
Entrepreneurs like Richard China or Mal Mixon, CEO of Invacare,
understands this axiom and effectively manages change by continually
adapting.
Organization's success is dependent on customer satisfaction and delight
which is achieved through the development of product and service.
A success product or services do not only have an attractive package
design but should be also able to provide robust performance.
The essence of product design is to satisfy customer and maximizes the
value for the customer at minimum cost.
The merchandise or service should also be able to meet primary needs and
desire of the customer. ( This may not require the development of new
service)
The goal is to create products/services by identifying an emerging trend
and match it with the right technology and understanding of the purchasing
Entrepreneurship unit 4 1
, dynamics. Eg.smaller , efficient, intelligent coupled w/ leaner approaches to
the operation.
A successful startup depends on its distinctive and compelling proposition.
( To stand out and are compelling to the young company‘s customers.)
service will succeed most if it either eliminates an existing pain or adds
significant tangible benefits.
“anyone can be successful by simply working on any given idea or
opportunity”- false . B/c - experienced operators will run into unexpected
troubles and Novices( in experienced ) generally introduce more problems
than they can deal with, which undercuts their ability to be lean, fast or
effective.
4.3 Product/Service Development Process
After opportunity is selected and business model is designed then develop
a product / service ( commercial version off oppo)
A successful business is measured by it's ability to develop or improve
products more than customers expect. ( Palgrave )
Is process where companies react to market signals, respond to customer
demand, adopt new technologies, foray into new areas, and ensure
continuous growth.
It is a core process in achieving strategic objectives, renewal of the
company business model and deterring competition from displacing the
company from its market position.
Is a part of new venture creation process
Has 4 main stages of product generation : fig on page 94
stages of new product development process:
1. New idea generation
Search for ideas b/c The key to successful entrepreneurship is to develop
an idea that has a market for the new product/service idea conceived.
Source of ideas: consumers, existing products and services, distribution
channels, the federal government, research and development.
2. Idea screening
Entrepreneurship unit 4 2
