Publisher's Synopsis
Excerpt from Sprinter Mod I: A Basic New Product Analysis Model
It is well known that there is a high potential for growth and profits in new products. For example, the sales growth of consumer product firms is largely accounted for by new products.1 But the risk in new product introduction is high. The most conservative failure rate for new products introduced on the market is This was reported by 8002, Allen, and Hamilton and was an average across all types of products. It can be expected that the failure rate is higher for frequently purchased consumer goods and in fact failure rates as high as 802 902 have been reported.3 In this paper a method is proposed to reduce the failure rate by better forecasting and to improve new product strategies.
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