Marketing Management, 16th Edition

Summary

1. Innovation is the key to developing viable new offerings. Innovation can involve a new technology, a new approach to brand building, a new pricing mechanism, a new way of managing incentives, new channels of communication, or a novel distribution method. Innovative offerings disrupt existing business models and make companies that fail to adapt to changing market conditions superfluous by devising new ways to create market value.

2. Successful new-product development requires the company to establish an effective organization for managing the development process, which can include product managers (of either the new product or existing products), committees, departments, or venture teams. Increasingly, companies are adopting cross-functional ...