New-Product Development and Product Life-Cycle Strategies

Marketing fundamentals -- part 8 -- terms

new-product development -- the development of original products, product improvements, product modifications, and new brands through the firm's own R&D efforts
idea generation -- the systematic search for new product ideas
idea screening -- screening new product ideas in order to spot good ideas and drop bad ones as soon as possible
product concept -- a detailed version of the new product idea stated in meaningful consumer terms
concept testing -- testing new product concepts with a group of target consumers to find out if the concepts have strong consumer appeal
marketing strategy development -- designing an initial marketing strategy for a new product based on the product concept
business analysis -- a review of the sales, costs, and profit projections for a new product to find out whether these factors satisfy the Company's objectives
product development -- developing the product concept into a physical product in order to ensure that the product idea can be turned into a workable product
test marketing -- the stage of new product development in which the product and marketing program are tested and more realistic market settings
commercialization -- introducing a new product into the market
sequential product development -- a new product development approach in which one company department works to complete its stage of the process before passing the new product along to the next department and stage
simultaneously (or team-based) product development -- an approach to developing new products in which various company department's work closely together, overlapping the steps in the product development process to save time and increase effectiveness
product life cycle (PLC) -- the course of a product sales and profits over its lifetime. It involves five distinct stages: product development, introduction, growth, maturity, and decline.
style -- a basic and distinctive mode of expression
fashion -- a currently accepted or popular style in a given field
fad -- a fashion that enters quickly, is adopted with great zeal, peaks early, and declines very quickly
introduction stage -- the product life cycle stage in which the new product is first distributed it made available for purchase
growth stage -- the product life cycle stage in which the products sales start climbing quickly
maturity stage -- the stage in the product life cycle in which sales growth slows or levels off
decline stage -- the product life cycle stage in which a product sales decline