Thursday, 21 June 2012

Design Product Development with Experts using Latest Tools

Product development is creating new kind of product from the existing product or improving and modifying the exciting product. With the help of product development, the product can be actually innovated as per end-user requirements and improved in such a way that the demand of the product start increasing as well as the profitability also increases.

Product development can be said as the fuel of any company. There is always tough competition in the market among the competitors and rivals. Everybody exists in the market to earn profitability. To earn profit the company takes many strategic steps. They decrease the cost price, use of low cost raw materials, modification in the product etc. To sustain in the market there should be certain amount of product development at a certain time interval. This brings continuity to the product.

Following are the certain stage of the company when they don’t have any other option other than product development:

  • When the profitability and growth rate is decreasing:
When such situation occurs that the profitability and the growth is declining on the constant basis without any concrete reason then it can estimates that its high time for product  development. Short term demand fall can happen at any time to any product but on the same time if the demand of product of the rivals and the competitors company increases then there is need of innovation in your product to meet up the level of the competitors and rivals product. 

  • When there is pressure for reducing the cost price:
To sustain the company always tries to bring a competitive price in the market. They are always under pressure to match up the price with the competitors and rivals. Sometimes it happens that there enters a new product in market which has all the features and benefits which exists in product which already present in the market but with a low price. This compels the already present similar product to reduce the price or less the demand of the product falls. In this situation, product development is beneficial. The product can be innovated and improved and introduce in the market as a new product.

  • When the demand of the product decreases:
It usually happens that there exist many similar products in the market. So it happens that the demand of product decreases because of the other product demand increases. Many similar products are available with some difference in it.
E.g. some product’s price will be bit less, some product usages will multiple, some product may have attractive package etc.

The fluctuation of the demand of products depends on such things. With the help of product development the product can be improved using latest tools to match up with the competitors and rivals product and this helps to sustain in the market and to increase the demand of the product.

  • When customer expects for product innovation:
The choice varies from customer to customer. People have different choice and tastes. It is necessary to understand the customer’s present need and to satisfy it as soon as possible. Customers always need a change in the product they use. They usually tend to get bore with the usage of same product. By product development, the product can be innovated and improved as per the desire of the customer. This makes the expectation of the customer satisfied which helps the product to stay high in the market.


1 comment:

davidoff said...
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