PRODUCT DEVELOPMENT

Two Approaches:
 Modification of an existing product
 Develop new product or enhanced features

Understanding Production
Three Traditional “Classes of Production”
1. Primary Production – earliest stage in the production
process, e.g. mining, farming, oil extraction, etc.
2. Secondary Production – involves converting primary
production raw materials into finished, or part-finished, goods
either through constructing, manufacturing or other forms of
processing.
3. Tertiary Production – describes the activities of the services
sector of the economy e.g. retail, insurance, banking and direct
services to the public (policing, nursing, etc.) which rely on the
products of the two above classes to create their working
environment.

Product Lifecycle Graph