What types of new product PDF

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IBM 4102.01 Ting Wu What Type of New Product? New products are more than just new-to-the-world innovations. Actually, most companies only ever introduce products that already exist in the market place. For this activity you need to identify what ‘type’ of new product the firm has developed (see list of options in the question section below). 1. McDonald’s introduces the ‘Triple-patty Big Mac’ 2. Coke brings out ‘Coke Ice Cream’ 3. Coke changes the target market for Fanta – it will now be targeted at young adults (rather than kids) 4. Facebook launches its own smartphone product. 5. United Airline offers a new class – regular traveler – which is half-way between business and economy standard 6. Virgin starts offering rocket flights to outer-space, for just $250,000 7. Apple brings out its next iPhone 8. Walmart decides to introduce a full-service luxury department store, under a new retail name

QUESTIONS 1. Classify the above examples into one of the following new product categories: Use this scale for your answers: A= New-to-the-world 6.Virgin starts offering rocket flights to outer-space, for just $250,000 B = New category 2. Coke brings out ‘Coke Ice Cream’ 4. Facebook launches its own smartphone product. 8. Walmart decides to introduce a full-service luxury department store, under a new retail name

C = Line extension 1. McDonald’s introduces the ‘Triple-patty Big Mac’

IBM 4102.01 Ting Wu 7. Apple brings out its next iPhone D = Product improvement 5.United Airline offers a new class – regular traveler – which is half-way between business and economy standard E = Repositioning 3. Coke changes the target market for Fanta – it will now be targeted at young adults (rather than kids)

2. Which of the above new product categories do you think would be commonly used by firms? Which ones would be rarely implemented? Why? Line extension is commonly used by firms, because line extension is designed to flesh out the product line as offered to the firm’s current markets. The target market are already familiar with the product and it is costs friendly. On the other hand, new to the world is rarely implemented. If the product is a new product in the world or a company's new product, the company faces higher risks and uncertainties, and the related development and release costs are also higher.

3. Why is repositioning a product considered to be one of the new product categories? There is no new product relate to the repositioning, but repositioning is a type of new product.Repositioning is a product that is repositioned for a new purpose or application. It often relate to a new target market....