Research and Development

Introduction
Necessary to examine strengths and weakness Base for survival of many companies Developing new products Improving product quality Improving manufacturing process

Advantages
Leads to superior product or service Competitive advantage

Internal R&D
Organization operates its own R&D department

External R&D
Organization hires independent researchers or agencies

Budget allocations

Financing as many projects as possible

Using Percentage of sales method

Budgeting same as the competitors

According to new products needed

Thank you