This refers to the business and marketing strategy of selling new products or services into existing markets.
A product development strategy focuses on building on existing market knowledge and developing new skills and processes in order to supply new products. In competitive markets this strategy may provide competitive advantage through enhanced use of market knowledge and complementary distribution channels. It includes risks that the organisation may not have the capacity to deliver new products and that new products may displace, rather than add to, the company’s existing revenue.
Product development is a term normally found in strategic management and performance management.
Explore our learning zone to discover more