
174 Improving reliability and quality for product success
is sufciently small, the powered value increment (R) and the market
share increase (ΔS) will be approximated to linear relationships as follows:
R
V
V
P
≅ ⋅α
(9.13)
S S S
V
V
P P
P
≅ −
( )
⋅ ⋅ ⋅1 α
(9.14)
The market share increase (ΔS) is proportional to the current mar-
ket share (S
P
), the value multiplier (α), and the ratio of the product value
increase over the existing product’s value (ΔV/V
P
), and is conned to
the sum of the competitors’ market shares (1 – S
P
). Tiny improvements
in the current product will make the market share increase greatly due
to the value multiplier.
Now let’ ...