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Campbellsville University **We aren't endorsed by this school
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PROJECT MA BA63170H22
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Marketing
Date
Jun 18, 2023
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3
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really helpful. This is made abundantly evident by the Viagra scenario that is discussed in Chapter 9. It takes a tremendous deal of talent to achieve the profound insights essential for highly unique goods. This is because a significant amount of the information obtained from consumers for such items has to be discarded (Veryzer, 2003). Research in the field of marketing has shown for many years that gaining valuable insight from consumers about innovative new market offerings, especially discontinuous new products, is extremely difficult and can sometimes lead to misleading information (Veryzer, 2003; King, 1985; Tauber, 1974; Martin, 1995; Hamel and Prahalad, 1994). These findings have been consistent across a number of studies (Veryzer, 2003; King, 1985; Tauber, 1974; Martin, 1995; Hamel and Prahalad, 1994). In point of fact, one of the most common comments that customers provide is something along the lines of "I want the same product, only cheaper and better." According to Von Hippel (1994), customers have trouble understanding and expressing their demands, and he has referred to this phenomena as "sticky information." Von Hippel (1994) has stated that consumers have difficulties understanding and articulating their wants. In other words, information that is difficult to convey (in a way that is analogous to the concept of tacit knowledge). It has been shown that user toolkits make it easier to communicate so-called "sticky information" and have made it possible for businesses to get a deeper understanding of the specific requirements and preferences of their clientele (Franke and Piller, 2004). Because discontinuous innovations include a higher number of unknowns, companies need to have both insight and foresight in order to succeed. A large amount of technical and commercial uncertainty is introduced by advanced technology, in particular when the technology in question is still in its infancy and industry standards have not yet been defined. A significant obstacle that must be overcome in marketing is recognizing and comprehending the potential of new technologies, as well as
determining what the market will and will not accept. Indeed, bridging the gap between the technological uncertainty and the market requirement is one of the most important steps in developing a new product that may be successfully commercialized. The market share of various consumer electronic items, such as DVD players and mobile phones, is shown to have expanded over the course of time in Figure 3.2. The rates of market penetration vary greatly, with some products, like DVD players, reaching a market penetration of 70% in only a few years, while others, like personal computers, took over 20 years to achieve the same level of penetration. In order to avoid being severely assessed by the market in the future, highly inventive or discontinuous new items have extremely stringent requirements in terms of the early and timely information they get. It makes little difference whether this information and expertise is given by marketing employees or by R&D scientists and engineers, but its entry into the process of developing a new product is crucial. According to Leifer et al. (2000): 81, the product development team is responsible for determining the following: 1) What are the possible uses of a technology as a product? 2) Which application(s) should be explored first? Which advantages does the product under consideration provide to clients who may buy it? What is the potential size of the market, and is this enough? In addition to the concerns of consumers, which are pertinent to the creation and marketing of new goods, there are also more macro aspects, which might impact acceptance and thus need to be addressed. It is natural to be concerned about the possibility of one technology being replaced by another (the case study in Chapter 7 delves into this topic in further depth by examining the issue of screw-caps replacing cork). In addition to this, the problem of product complementarity, which refers to the situation in which there is a beneficial link between products (for example, a computer printer and a computer), may also be relevant with regard to the adoption of a product.
Therefore, in addition to replacing items, new technical advancements often change or complement current products that may still be disseminating within a particular market. This is because of the preceding point. since of this, there are substantial ramifications for the choices that are made about market strategy for both items since their processes of dissemination are intertwined (Dekimpe et al., 2000;
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