you get ideas from your own strenghts and weaknesses
define external sources
you get ideas from opportunities and threats in the outside market
what are internal sources of business ideas
1. skills and hobbies
3. research and development
4. customer feedback
what are external sources of business ideas
1. family and friends
2. state agencies
5. import substitution
what is brainstorming?
technique used by individuals and businesses to generate ideas.. aim is to encourage creativity and imagination
development process of new product
1. idea generation
2. product/service screening
3. concept development
4. feasibility study
5. prototype development
6. test marketing
7. product launch
what is screening?
going through all the ideas and picking out the ones that have the greatest potential for development.. done by conducting a SWOT analysis
what is concept development?
involves writing a detailed essay about the product idea.. USP, look like, purpose
what is a feasibility study?
investigation into then new product idea to see whether it is actually possible to make the product at a reasonable cost and make a profit... cash flow forecast.. breakeven chart... state agencies provide grants for businesses to carry out feasibility studies into new product ideas
what is a prototype?
first working model of a new product
what is prototype developement?
sample product made as an experiment to see whether the product idea actually works in practice and whether it would appeal to customers
what is test marketing?
launching the product on a small segment of the market and evaluating comsumers response to it
what is product launch?
full-scale production.. product available for sale in entire market.. company undertakes a marketing campaign