The Effect of Culture on Global New Product Development Process

Abstract

Over the last two decades companies have been extending their operations on a global scale to reduce costs and also developing new products to improve sales. However, going global has taken on a new meaning recently; for today’s businesses, it is not only taking operations offshore to reduce labor costs but also developing global products that can be marketed in multiple country markets. Unfortunately, there has been little research on the global new product development process. We attempt to fill this gap by conceptualizing the impact of culture on the global new product development process by using hedonic/utilitarian consumption theory.