Performance Of New Products Research Articles

The Contribution of Absorptive Capacities to New Innovative Product Development Performance: A Conceptual Framework

The wave of Covid-19 has forced the industry to transform so that the products produced can remain competitive in the market. Old products in the period before Covid-19 certainly no longer have the same competitive performance as today, so the industry is required to be able to develop new product innovations that can excel in the market. To be able to produce innovative new products, the industry requires sufficient knowledge. The ability of industries to be able to acquire and implement knowledge is called absorptive capacity. In various previous studies, absorptive capacity has four aspects including acquisition capacity, assimilation capacity, transformation capacity and exploitation capacity. In this article the conceptual framework for the relationship between aspects of absorptive capacity and the performance of new products is presented. We hypothesize that there are interesting correlations between aspects of absorptive capacity and new product development performance.

OPTIMALISASI CITRA MEREK DAN DIFERENSIASI PRODUK DALAM MENUMBUHKAN LOYALITAS KONSUMEN (PRODUK MAKANAN KECIL TUM TIM DI SIDOARJO)

The purpose of this study is to calculate the magnitude of (1) the impact of brand image in fostering consumer loyalty, a study on the Tum Team cake (2) the impact of product differentiation in fostering consumer loyalty. big on consumer loyalty. This study determined a sample of 33 customers of the Tum Tim cake. The quantitative approach research method is used in this study, using statistical tools using the SPSS 22 application, as an analysis tool. On the basis of the analysis suggests that (1) brand image is able to improve the performance of new products (2) product differentiation has an effect on increasing the level of consumer loyalty (3) Analysis of the multiple linear regression equation implies that brand image fosters a stronger impact than product differentiation to grow the level of consumer loyalty Tum Tim.

The role of product development practices on new product performance: Evidence from Nigeria's financial services providers

This study investigates the impact of product development practices on the performance of new financial products and services through the analysis of ten in-depth case studies. We argue that weak product development practices negatively affect product performance. This study finds that in Nigeria, new financial product performance is suboptimal because of poor product development practices. This study further shows that when poor execution follows inadequate product development practices, the likelihood of product failure increases, as evidenced by poor product performance and low adoption. The processes adopted in the development of financial services affect the adoption, use, and overall penetration of the product in the target market. Therefore, this study suggests that the management team of various financial service providers invest in developing sound product development practices in the actualization of their goals of increasing the adoption and use of their products.

The learning organisation: choice of a model and study of its empirical modeling

ABSTRACT Although the Learning Organisation (LO) model presented by Marsick and Watkins (2003. “Demonstrating the Value of an Organization’s Learning Culture.” Advances in Developing Human Resources 5 (2): 132–151) gained significant acceptance in the academic and managerial areas, its operationalisation remains questionable. We reviewed the LO concept, analyzed its impact on the performance of new products and assessed its validity through three different specifications. We have used the Partial Least Square (PLS) software to study this question in a sample of biotechnology firms in France. The results showed that the most valid modeling approach considered LO as a second order construct of reflective-formative nature. Furthermore, when LO dimensions are implemented simultaneously, they are likely to generate a superior level of product innovation performance. We conclude the exposition by highlighting the implications of these findings.

Using Clickstream Data to Improve Flash Sales Effectiveness

Flash sales retailers organize online campaigns where products are sold for a short period of time at a deep discount. The demand in these events is very uncertain, but clickstream data can potentially help retailers with detailed information about the shopping process, thereby allowing them to manage such risks. For this purpose, we build a predictive model for shoppers’ sequential decisions about visiting a campaign, obtaining product information and placing a purchase, which we validate using a large data set from a leading flash sales firm. The proposed hierarchical approach mirrors the different stages of the shopping funnel and allows for a direct decomposition of its main sources of variation, from customers arrival to products purchase. We identify life‐cycle dynamics and heterogeneity across campaigns and products as the main sources of variation: these allow us to provide the best predictions from a statistical standpoint, which outperform machine learning alternatives in out‐of‐sample accuracy. Our model thus enables flash sales retailers to learn about the performance of new products in a few hours and to update prices so as to better match supply and demand forecast and improve profits. We simulate our forecasting and optimization procedures on several campaigns including thousands of products and show that our model can successfully separate popular and unpopular products and lift revenues significantly.

New product performance implications of ambidexterity in strategic marketing foci: a case of emerging market firms

PurposeAmbidexterity’s effects on exploration and exploitation have been widely studied in the innovation literature. However, to date, no studies have determined how combining or balancing the two strategic marketing foci may improve new product performance outcomes. This is an important issue in emerging markets, which have considerable potential to introduce new products, given the rising affordability and intense competition between Western and local firms. These challenges compel managers to offer new products and solutions in these markets. However, firms may adopt different strategic marketing foci for new product development. Using Pakistan as an emerging-market context, this paper aims to provide novel insights into how managers can choose the right balance of a customer-driving versus customer-driven strategy to optimise new-product performance.Design/methodology/approachA multi-industry approach surveyed senior strategy managers (N = 106) of Pakistani businesses.FindingsUsing polynomial regression and surface test analyses, the findings showed that balancing the two strategies influenced new-product performance more than either strategy alone. Surprisingly, the imbalance of greater customer-driving over customer-driven strategy or vice versa did not improve new-product performance. Moreover, new-product performance was greater when the level of balance was higher compared to when it was lower.Originality/valueGrounded in behavioural and strategic adaptation theory, this study extends ambidexterity’s theoretical foundations in marketing by empirically determining the optimal balance of an orientation and performance implication model. The findings can assist emerging market managers in choosing the right balance and combination of the two strategies for better performance of new products.

Examining the Reasons behind the Successes and Failures of New Products: A Study of New Product Performances in Training Division of XYZ Management

Objective – New product performance is very important for the survival of any company. This research uses the Grounded Theory Method (GTM) to determine the factors that are relevant to the success and failure of new products. The study focuses specifically on new products in the Training Division of XYZ management. Methodology/Technique – The data for this study was collected using the interview method with the total of 5 respondents, researcher’s involvement per se and FGDs. Findings – The coding process resulted in the creation of 4 groups comprised of the 3 main questions containing 20 factors relevant to new product failure. These factors were previously confirmed by a survey conducted among 26 NPD practitioners from various industries. This research identifies that the steps involved in the development of new products have not been optimally conducted in accordance with the new product development guidelines. The results of this study explain the role of telemarketers and sales managers which can change and affect the performance of a new product. Novelty - The involvement of the researcher as a telemarketer highlights the importance of the role and need of a reliable technological system to support the performance of new products. The findings of this research provide a greater understanding of the factors that contribute to product failure, namely a lack of a specific strategy for new products, less aggressive sales techniques, and the shifting role of telemarketers and sales managers. Type of Paper: Empirical. JEL Classification: M1; M11. Keywords: New Product Performance; New Product Development Process; Sales Manager; Telemarketer. Reference to this paper should be made as follows: Kurnia, P.R. 2020. Examining the Reasons behind the Successes and Failures of New Products: A Study of New Product Performances in Training Division of XYZ Management, J. Mgt. Mkt. Review 5(3) 129 – 140. https://doi.org/10.35609/jmmr.2020.5.3(1)

Impact of Marketing Synergy on the New Product Results

Studies reveal that marketing synergy is related to the market performance of new products, and thus is considered to be a fac­tor of their success. The goal of the article is to present results from an empirical study of the impact of marketing synergy on new prod­uct results in Bulgarian companies. The article outlines research on the resource theory as a base for the concept of marketing synergy, and presents different views of marketing synergy as a success factor in new product develop­ment. Marketing synergy is regarded as con­gruency between the existing marketing skills of the firm and the marketing skills needed to execute a new product initiative successfully. A methodological approach for research of the marketing synergy has been developed. Results of the empirical study reveal that there is a link between the level of marketing synergy and the indicators for measurement of new prod­uct results, but there isn’t a link between the level of marketing synergy and the level of new product success.

Technology diffusion model with change in adoption rate and repeat purchases: a case of consumer balking

Understanding the diffusion paradigm of emerging technological products is crucial for continuous development. In this study, a value-based diffusion model is proposed to forecast the market performance of new products. The model analyzes the interaction between the consumer’s psychological perspective on dynamic price and goodwill of the new product using a two-dimensional framework. A Cobb–Douglas production function is applied to model the different dimensions of product adoption. The model overcomes the limitation of previous studies by incorporating the variation in the adoption rate. In addition, this study also introduces a concept of change-point in the percentage of repeat purchases. A time instance at which the rate of occurrence of a phenomenon alters is called change-point. Moreover, the rapid introduction of new and improved version of products makes a potential buyer balk (i.e. hesitate or wait). Therefore, the actual potential market is always lower than the estimated market size. Thus, the concept of consumer balking is incorporated in the present study in a quantitative manner. Furthermore, the LCD monitor actual sales data is used to validate the model. Findings recommend that the proposed model have superior fitting and prediction ability as compared with conventional diffusion models. The novelty of the study is that it is flexible and has the ability to describe the real market scenario. Moreover, it includes multiple factors that drive the diffusion of new technology in data analysis.

Boundary Changes as a Trade-off: How Production Outsourcing Influences Innovation Performance

The boundaries of the firm shape the development of capabilities and the accumulation of knowledge within the firm. Changes in the firm’s boundaries therefore entail changes in how the firm creates value. For the case of outsourcing of production activities, we theoretically and empirically explore how shifting from hierarchical to market governance affects product innovation performance in firms. We test our hypotheses in a first-differencing model using panel data from the Swiss innovation survey comprising 390 observations from 2005-2011 of manufacturing firms. Our results show that production outsourcing leads to a decrease in product innovation performance. This effect is significantly more prominent on the performance of new products in comparison to the performance of improved products. Investments in a firm’s absorptive capacity can mitigate the adverse effects of production outsourcing on innovation performance. We contribute to the understanding of firm boundaries by introducing a theoretically and empirically coherent perspective on temporal innovation performance effects of boundary changes.

RISK MANAGEMENT WITH A FINANCIAL IMPACT

Project risk management's aim is to afford vision of the risk profile of a project to support decision-makers to reduce the consequences of risks on project purposes such as time and budget. Risk evaluation and treatment of the whole project fronts the crises of developing irrelevant reactions. Despite every risk is by nature subjective, at the time of risk management progress many analytical models have been developed. Nowadays risk management tools are obtaining big attention, as it is a way to reduce costs, improve schedule and redevelop technical performance of new products. However, there is still a lack of researches directed on the investigation of the productive integration of risk management tools into an organization. Quantitative tools remain the best choice so this study broaches one of them named RFMEA. The research provides a basis for a quantitative approach to risk assessment in a project of an engineering company. Because of changes coming to the traditional risk management process caused by implementing Industry 4.0 in the automotive industry, there is considered management of Innovation. The outline is made of risk management trends.

Guanxi, Co-Production and New Product Performance: a Moderated Mediating Effect Model

Guanxi is an important channel for small and medium-sized enterprises（SMEs）to obtain external resources, but literatures did not pay much attention on the impact of Guanxi on the mechanism of enterprise innovation. This paper examines the mediating effect of the relationship on co-production in the process of new product development by examining the sample data of 275 small and medium enterprises from the Yangtze river delta and the pearl river delta in China, and further examines the moderating effect of dynamic environment. It is found that the relationship can directly improve the performance of new products of SMEs, and can also play an indirect role through co-production. Dynamic environments enhance the relationship between co-production and new product performance.

'Recycle versus buy' scenarios in manufacturing strategy decisions: an empirical study

This paper examines the 'recycle versus buy' decision-making process, which is becoming a critical decision area for companies operating in the plastics, paper, rubber and metal industries. Via the use of scenario analysis, applied in an in-depth case study that uses plastic buckets for packaging, decision alternatives and uncertainties are considered. The scenario analysis produced nested scenario logics, comprising four bases: volume of used-material collected; cost of used-material collection; cost of virgin material; and performance of new product made with high/low ratio of virgin material to recycled material, resulting in 16 possible scenario combinations. For each combination, market, technical and financial feasibility are examined. For each scenario, a single decision alternative was selected from these four possible decision alternatives: full backward integration, taper integration, partial integration and no integration.

Order of market entry as a success factor in product innovations

The purpose of the article is to make a review of the studies dealing with the order of company market entry as a success factor for new products. On the one hand, the interest in the review is driven by the need to develop and launch successful new products and, on the other, the high likelihood for product failure was confirmed by a lot of studies. Furthermore, research in the last years has considered the order of company market entry a factor that determines the market performance of company new products. As a result of the review, a classification is proposed of the studies on the order of company market entry including three areas: consequences of company market entry; pre-entry conditions; characteristics of the economic environment influencing the first two areas. The main conclusion formulated in the article is that, overall, the studies on the order of market entry support the relation between entry timing and company performance with the order of market being a question of matching company resources and capabilities, and environment requirements. The methods of analysis and synthesis as well as induction and deduction are used in the article.

R&D intensity, knowledge creation process and new product performance: The mediating role of international R&D teams

Although previous studies have shown the positive effect of research and development (R&D) intensity on new product performance (NPP), our understanding about the mechanisms through which R&D intensity influence NPP is less understood. In this paper, we focus on the mediating role of international R&D teams in explaining the effect of R&D intensity on NPP. Since R&D teams are dispersed across the globe, thus examining the role of international R&D teams will provide a more nuanced understanding of the mechanisms through which R&D intensity contributes to NPP. Using survey data from 201 Ghanaian firms engaged in internationalization activities, the results suggest that the use of international R&D teams mediates the relationship between R&D intensity and NPP. Moreover, the findings indicate that the use of international R&D teams improves NPP and that this linkage is amplified when the knowledge creation process inside the firm is stronger. We discuss the implications of these findings for theory and practice.

Pengaruh Keterlibatan Suplier Dan Konsumen Serta Inovasi Produk Terhadap Performa Produk Baru Di Pt. Puspa Pharma

This study aims to find out how the influence of several factors studied on the performance of new products so that the advantages and disadvantages of PT. Puspa Pharma. Some of these factors are the suppression of brand profiles, internal coordination, competitor-oriented, product innovation, and the involvement of consumers and suppliers. The data used in this study are primary data, which came from the results of questionnaire collection as many as 96 respondents at PT. Puspa Pharma. This research takes place from March 2018 to November 2018. The data analysis method used in this study is the Partial Least Square (PLS) analysis method that uses SmartPLS software version 3.0. The results of the study show that the performance of new products at PT. Puspa Pharma is more influenced by the involvement of suppliers and consumers compared to product innovation. Where the involvement of suppliers and consumers is supported by two important factors namely competitor-oriented and product innovation itself. Whereas internal coordination and suppression of brand profiles do not affect the involvement of suppliers and consumers.

Innovation performance of new products in China's high-technology industry

Innovation performance assessment of new products in a high-technology industry is conducive to assessing the quality of innovation. Therefore, it improves the operational efficiency of enterprises. It is of great significance for innovation policy-making. This paper presents a theoretical framework for evaluating innovation performance in which the contribution of new product development funds is divided into several elements, including invention, utility model, and appearance design patents. Based on this framework, the elasticity of invention patents to new product sales revenue is divided by the elasticity of new product development funds to new product sales revenue, and the result is used as an indicator to evaluate the innovation performance of new products. Taking the interprovincial panel data of China's high-technology industry as an example, the relationships between the variables, including number of invention patents, new product development funds, R&D funds, and new product sales revenue, were studied comprehensively by using a panel data simultaneous equation model, Granger causality tests, a panel threshold regression (PTR) model, and a Bayesian vector autoregressive (BVAR) model. The results showed that the overall innovation performance of new products in China's high-technology industry, which reached only 42.9%, was unsatisfactory. Despite the poor performance of invention patents, the high-technology industry in China showed strong developmental potential and is entering a transformation period for innovation quality improvement. The overall performance of investments in developing new products was satisfactory. The contribution of new product development funds increased as the enterprise scale increased and as new product sales revenue increased.

Steering the Sales Force for New Product Selling: Why Is it Different, and How Can Firms Motivate Different Sales Reps?

This study investigates how to direct and assemble the sales force for new product selling. In a first step, the authors draw on self‐determination theory to explore and empirically test a threefold conceptualization of motivation. Results provide insights into why sales force steering works differently in the new product selling context. Specifically, results show that for new products’ financial performance, internalized new product selling motivation is more important than intrinsic and controlled motivation. In a second step, the authors show how firms can motivate different sales reps to achieve higher financial performance of new products. In doing so, they examine the interaction effects of sales reps’ predispositions and widespread firm‐steering instruments on new products’ financial performance. Results reveal that the new product sales orientation of the bonus strengthens the positive relationship between sales reps’ performance predisposition and new product financial performance but weakens the relationship between sales reps’ learning predisposition and financial new product performance. Moreover, results reveal that the new product sales orientation of the periodic review strengthens the positive relationship between sales reps’ learning predisposition and financial new product performance. A post hoc analysis shows that a differentiated steering approach that matches appropriate steering instruments with sales reps’ varying predispositions substantially enhances reps’ financial new product performance.

The role of customer participation in building new product development speed capabilities in turbulent environments

In a sample of 204 SMEs, this study investigates how customer co-creation impacts firms’ ability to increase new product development (NPD) speed. The results show firms that collaborate with customers in the NPD process at greater levels are able to increase NPD speed capabilities and commercialize products at a faster rate. In addition, environmental turbulence is investigated as to how it may impact the relationship between customer participation and NPD speed. The results show that customer participation in NPD allows firms to better manage turbulent environments by enhancing the speed at which new products are brought to market. Finally, the results show that NPD speed mediates the relationship between customer participation and the performance of new products, thus highlighting the importance of developing new products faster. The principle contribution of the study is the examination of an additional moderating factor in regard to customer participation and NPD speed. The second contribution of this research is that while previous studies have examined the individual impacts of customer participation on NPD speed and NPD speed on NPD performance, this research statistically demonstrates the mediating process among the three constructs.

Examining New Product Financial Performance Through Marketing Intelligence Quality, Customer Interaction Capabilities and Customer-Centric Commitment on Jordan’s Micro Retail Fashions

The purpose of this paper is to examine and test the mediator of customer interaction capabilities in relationship with quality market intelligence (MIQ) and customer centric commitment (CCC) with the new products performance (NPP). This paper chooses 184 micro retail fashions and examines the relationship of MIQ, CCC with CIC and NPP. The findings indicate that MIQ only affects the NPP, while the CCC is not. Nonetheless, CIC actually mediate the relationship between MIQ and CCC with NPP. By examining the diverse learning literature market, CRM, NPD and entrepreneurship, this paper offers a unique analysis on the quality of market intelligence and customer centric commitment and their impact on customer interaction capability and performance of new products. Conceptual and empirical discussion results to extend previous research on market orientation culture on SMEs.