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New product Def: A product is a set of benefits offered for exchange and can be tangible (that is,

something physical you can touch) or intangible (like a service, experience, or belief). In general, the product is defined as a "thing produced by labor or effort or the "result of an act or a process E.g : A product is anything that can be offered to a market that might satisfy a
want or need. In retailing, products are called merchandise. In manufacturing, products are purchased as raw materials and sold as goods. Like our goods e.t.c.

New product development Def: In business and engineering, new product development (NPD) is the term
used to describe the complete process of bringing a new product to market.

Process of new product developmet 1. Idea Generation: Ideas for new products can be obtained from
basic research using a SWOT analysis (Strengths, Weaknesses, Opportunities & Threats),

2. Idea Screening: The object is to eliminate unsound concepts prior to


devoting resources to them.

3. Concept Development and Testing: Testing the Concept by


asking a sample of prospective customers what they think of the idea

4. Business Analysis: Estimate likely selling price based upon


competition and customer feedback

5. Beta Testing and Market Testing: Produce an initial run of the


product and sell it in a test market area to determine customer acceptance

6. Technical Implementation: Resource plan publication 7. Commercialization: Produce and place advertisements and other
promotions

8. New Product Pricing: Competition and alternative competitive


technologies.

Product life-cycle (PLC)


Product life-cycle (PLC) Like human beings, products also have an arc. From birth to death, human beings pass through various stages e.g. birth, growth, maturity, decline and death. A similar life-cycle is seen in the case of products. The product life cycle goes through multiple phases, involves many professional disciplines, and requires many skills, tools and processes. Product life cycle (PLC) has to do with the life of a product in the market with respect to business/commercial costs and sales measures. To say that a product has a life cycle is to assert three things: Products have a limited life, Product sales pass through distinct stages, each posing different challenges, opportunities, and problems to the seller, Products require different marketing, financing, manufacturing, purchasing, and human resource strategies in each life cycle stage.

The four main stages of a product's life cycle and the accompanying characteristics are:

Stage 1. Market introduction stage


1. 2. 3. 4. 5. 6. 1. 2. 3. 4. 5.

Characteristics
costs are very high slow sales volumes to start little or no competition demand has to be created customers have to be prompted to try the product makes no money at this stage costs reduced due to economies of scale sales volume increases significantly profitability begins to rise public awareness increases competition begins to increase with a few new players in establishing market

2. Growth stage

3. Maturity stage

6. increased competition leads to price decreases 1. costs are lowered as a result of production volumes increasing and experience curve effects 2. sales volume peaks and market saturation is reached 3. increase in competitors entering the market 4. prices tend to drop due to the proliferation of competing products 5. brand differentiation and feature diversification is emphasized to maintain or increase market share

6. Industrial profits go down 1. costs become counter-optimal 2. sales volume decline 3. prices, profitability diminish 4. profit becomes more a challenge of production/distribution efficiency than increased sales

4. Saturation and decline stage

Fad Def : A fad is any form of behavior that develops among a large population and is
collectively followed with enthusiasm for some period, generally as a result of the behavior's being perceived as novel in some way. e.g: language usage, apparel, financial investment, and even food

Style Def:Style (visual arts), in art and painting, either the aesthetic values followed in
choosing what to paint (and how) or to the physical techniques employed.

Fashion Def: Influence of economic change on social and cultural life.


A general term for a popular style or practice, especially in clothing, foot wear, or accessories.

The fashion industry is a product of the modern age. Prior to the mid-19th century, most clothing was custom made. It was handmade for individuals, either as home production or on order from dressmakers and tailors. e.g. Clothing. Fancy dress.

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