I. 1.1.

Introduction

CHAPTER 1.

INTRODUCTION

This research deals with the factors affecting new product adoption. This chapter starts by defining general concepts in the research background section which uses a substantial body of literature about new products and product adoption. Furthermore, the definition of the aim and objectives of the study is described. Then, it moves to an explanation of the rationale for the chosen topic. Finally a structure of the dissertation is presented in order to guide the reader.

1.2.

Research Title

Factors affecting the adoption of new products: The case of shape".

ot !rinks in a cube

1.3.

Research Bac !round

#owadays, recent technological developments in information and communication technology such as internet and computers have changed marketing practices. The statement $lobal %arket" has become more popular in the business environment and markets have become more interconnected &'hiwani, (ande, )ikas, *++,-. The result of these changes is more consumers exposed to a hard war of new and old products day by day. .nsurprisingly, such proliferation of products can lead to some of them being rejected. /ejection may be due to different factors such as low distribution, higher prices, product characteristics, etc. 0t implies that being able to detect factors and characteristics that influence the acceptance of new products by consumers in an early stage, could improve the product performance in the new market & %ichaut, *++,-.

)arious researchers have investigated the factors influencing the adoption of new products. For example 1irsam and %uller &*++2- explain how mass media and interpersonal communication can affect the adoption of new product by using the mathematical model of Frank 'ass. They conclude that if the product innovation does not convince the adopter in the communication process, the adopter can reject the innovation application. Tsue &*++3- used the /ogers model in order to find out the factors affecting the adoption of %(3 players. e argues that there are seven factors ultink &*++4- also used the /ogers affecting product adoption, namely, trialability, compatibility, relative advantage, observability, complexity, image and perceived risk. machines. %odel to measure consumer5s adoption to smart products such as vacuum and washing e found that higher levels of perceived risk, observability and complexity are the main factors affecting adoption of these products. 6ontinuing with the /ogers %odel, 7owalski and $oldstein&*++,- found that in the mobile phones security business the factors affecting adoption of this service are: information and perceived risk. %any others studies are presented in this paper as a basis of the research all focus on product adoption. The research on product adoption, however, focuses on services rather than tangible goods. Further to this most research has concentrated on products or services originating in the ..8 or the ..7. This study attempts to bridge this gap by investigating the factors influencing the adoption of a tangible good &i.e. originated outside the ..8.9. or the ..7. &i.e. in 6olombia-. Three focus groups comprising eight respondents each were conducted in order to meet the aims and objectives of this research. The evaluation of a new product such as in each session. ot !rinks in a cube shape &i.e. coffee cubes, hot chocolate cubes and tea cubes- was made ot !rinks in a cube shape-

1.".

Research Ai# and O$%ecti&es

9s discussed above the aim of this research is to identify the factors affecting the adoption of new products. The following objectives were set in order to meet this aim: To review literature on the factors influencing the adoption of new products. To identify the role of price, image, knowledge and taste in the adoption of new products. To identify the factors influencing the adoption of hot drinks in a cube shape. To comment on the extent to which 6olombian ot !rinks can succeed in the ..7.

1.'.

Rationale (or the Chosen To)ic

0 have decided to conduct the research on this proposal topic based on my personal interest on the %arketing environment. 0 consider (roduct adoption as an important factor from the management point of view as it could improve the product performance in new markets and grant the success of the firm5s marketing strategy. 0 strongly believe that this marketing factor is nowadays one of the most important subjects for the survival of any company. 9lso, the majority of the studies published on factors influencing product adoption focus on information about perceived product adoption of existing products and do not include a representative number of new products which could largely influence the final comparison of results. 0n addition, although there are a few studies in previous researches which involve new products, no one of them is related with food industry or beverage industry, which is the main point of this particular research.

1.*.

+tructure o( the Dissertation

0n the following chapters 0 first develop a theoretical framework incorporating a number of ideas and findings relevant to understand the factors affecting product adoption. 0n the 6hapter two a substantial body of literature is presented about new products, innovation and product adoption models. 0n the 6hapter three, the methodology used in the research concerned with product adoption is presented. 9 :ualitative research is proposed with the elaboration of focus groups divided in three sessions with an average of eight people each. The use of a guide for the moderator was needed in order to help the researcher to put the research :uestion in parallel with the topics to probe. 9lso the codification techni:ue is used to organi;e the information later on. Finally, 6hapter four presents the findings of this dissertation, giving an explanation of what the factors influencing the adoption of ot drinks in a cube shape are. 0t also presents a comparison between the factors extracted from different authors and the ones found in this research evoking interesting potential directions for further research.
,i!ure 1+tructure o( the dissertation
<Introduction <Research Title <Research Bac !round <Research Ai# and O$%ecti&es <Rationale (or the chosen to)ic <+tructure o( the dissertation

I. INTRODUCTION

II. .ITERATURE RE/IE0

<Introduction <0hat is a ne1 Product2 <0hat is Product Ado)tion2 <Theoretical (ra#e1or <,actors In(luencin! Product Ado)tion <Conclusion

III. 3ETHODO.O45

<Introduction <O$%ecti&es <Research A))roach <Research Desi!n <Data collection #ethods <+a#)lin! considerations <Data Anal6sis </alidit6 and Relia$ilit6 <Conclusion

I/. RE+EARCH ,INDIN4+

<Introduction <,indin!s <Research +u##ar6

/. 4ENERA. CONC.U+ION

<Introductor6 su##ar6 <+u##ar6 o( e6 (indin!s <Reco##endations <.i#itations and (uture research <+u##ar6

Source: Graph made by the researcher

Figure 1.