JAROLD JAY M.

RICO
MBA-1
BA 205 Strategic Marketing Management

PRODUCT INNOVATION , MAXIMIZING PRODUCTIVITY IN

BUSINESS

INTRODUCTION

In every business challenge one of the main problem is the lack

of innovation. In today's trend, consumers are demanding for
something new and unique in the market. Therefore, there is a need to
have research and development for product innovation.
Product innovation is critical to the marketing firm's growth and
development. Marketing firms can achieve their goal of global presence
by developing innovative products. Companies are now competing for
product innovation in the globalization era.
According to Catherine Cote (2022), Product innovation is the
process of creating a new product—or improving an existing one—to
meet customers’ needs in a novel way. Product innovation is the
industry concerned with the development of new and modern
products, modifications to existing product designs, and the use of
better and new components or materials in previously established
products.
Product innovation typically aims to help with one of the
following: Time: Reducing the total time spent on a project, such as
new computer software that allows architects to create blueprints and
floor plans three times faster.
BODY

Most businesses have extravagant growth objectives. The

problem is that there are only so many potential sources of market
growth. Markets in many countries and industries are mature and
increasingly discommoded; increasing market share is costly; and
acquisitions frequently fail. For most businesses, product
development consists of line extensions, improvements, and product
modifications that serve only to maintain market share. Because
markets aren't expanding, companies are increasingly competing for a
piece of a shrinking pie by launching one insignificant new product
after another.
The concept of New Product Development productivity is still
relatively new, there are few hard numbers on actual industry results.
Indeed, according to a best-practices study conducted by the
American Productivity and Quality Center (APQC), almost no
companies measure or report their New Product Development or R&D
productivity as a business metric.
The number one key to NPD success and profitability is
developing and delivering differentiated new products that solve major
customer problems and offer a compelling value proposition to the
customer or user. Indeed, one of the reasons for the decline in NPD
productivity is a lack of breakthrough new products with a "wow"
factor in most companies' development portfolios.
Your next new product is with your creative customer! This
approach aims to find particularly creative clients or users—those
who are ahead of the curve. Customers and users are invited to
participate in a focus group session in order to discuss their issues
and concerns rather than to evaluate new ideas. Identifying customer
problems is frequently the first step in creating a game-changing
solution.
CONCLUSION
To sum up, whenever a forward-thinking organization creates
its own philosophy and model for product creation, there is always a
big argument to determine the guiding principles. Any innovation
model meant to alter corporate behavior should, after all, be founded
on explicitly stated fundamental principles.
A fast pace of innovation is also necessary to keep up with
markets that have become over saturated with goods, services, and
new technologies once your goals and strategy have been aligned.
Think about approaching product innovation sustainably. This entails
fostering an innovative culture, making little improvements a habit,
and maintaining a diverse and well-balanced product line.

RESOURCES

Cooper, R. (2011). Perspective: The Innovation Dilemma: How to

Innovate When the Market Is Mature. Retrieved December 10,
2022 from https://www.semanticscholar.org/paper/Maximizing
Productivity-in-Product-Innovation-Cooper-Edgett/

Cote, C. (2022). Product innovation: What business leaders need to

know. Retrieved December 10, 2022 from
https://online.hbs.edu/blog/post/product-innovation

Edgett, S. (2010). Maximizing Productivity in Product Innovation.

Retrieved December 10, 2022 from
https://www.researchgate.net/publication/