PowerPoint Slides With Teaching Notes
PowerPoint Slide Teaching Notes
12-1: Developing New Products
12-2: Developing New Products These questions are the learning objectives
guiding the chapter and will be explored in more
detail in the following slides.
12-3: 3D Printing As more companies and consumers seek out 3D
printers, their prices have dropped precipitously.
The technology keeps improving, and the
machines seem poised to take off.
Ask students: How could you see yourself using
a 3D printer?
12-4: Innovation and Value A new product can be anything from a slight
redesign to new-to-the-world offerings.
Ask students: What is an example of a slightly
redesigned product? What about a
new-to-the-world product?
Ask students: Think of a new product that
interested you as a consumer. Did this new
product alter your opinion of the firm that offered
it?
12-5: Check Yourself Changing customer needs, market saturation,
managing risk through diversity, and fashion
cycles
12-6: Diffusion of Innovations Group activity: Have groups pick one product.
Ask them what group of consumers would
purchase this product? Why?
Example answer: TiVo has been around for about
10 years, it is probably in the early or late
majority stages.
Cable television, on the other hand, is now
appealing to laggards; whereas some new cell
phones are appealing to innovators and early
adopters.
Ask students: Where are you on the curve?
If they are laggards—what have they recently
purchased or not yet purchased?
12-7: Identify the Adopter
12-8: New Product Introductions Despite first-mover advantages, pioneers often
lose out to superior competitors.
For example, CD Walkmans have been taken
over by Apple iPods.
First movers must staunchly defend their
territory.
After establishing the market, they generally must
switch to a defender mode to fend off
newcomers.
12-9: Recycled Organic Clothes This clip examines innovation and trends as it
looks at recycled organic clothes and the
consumer’s reaction to this innovative idea.
Note: Please make sure that the video file is
located in the same folder as the PowerPoint
slides.
12-10: Using the Diffusion of Innovation
Theory
Different products diffuse at different rates.
Various factors increase the speed of diffusion of
a new product.
Group activity: Continue with the previous
group activity.
Assess why some of the products chosen by the
groups diffused more quickly than others by
applying the four criteria in the boxes.
12-11: Check Yourself 1. Innovators, early adopters, early majority, late
majority, laggards.
2. Relative advantage, compatibility,
observability, complexity and trialability
12-12: How Firms Develop New
Products
This slide is designed to introduce the new
product development process and the steps to
follow.
Group activity: Have each student group think
of a new product. It need not be a
“new-to-the-world” product.
Then have them follow the steps in the New
Product Development Process and describe what
they would do at each step.
This exercise might take an hour or so, so it may
be used as an out of class assignment.
Have students present their process to the rest of
the group.
12-13: Idea Generation Firms must constantly scan the environment
looking for new product ideas.
Depending on the company strategy, they use
different sources.
12-14: Internal R&D Larger firms often maintain their own R&D
department and rely on it to generate new
products that will lead the market.
This YouTube link (always check links before
class) is for Pepsi Crystal —a new product
invented by Pepsi that did not last long on the
market.
12-15: R&D Consortia To defray large new product development costs,
firms/governments may join forces with
educational institutions.
Group activity: Investigate whether any research
groups work through your university. How might
their findings help firms develop new products?
12-16: Licensing Firms license the use of new products,
technology, and processes.
Small biotech firms frequently license their
inventions to larger pharmaceutical firms.
12-17: Brainstorming Many firms, such as ConAgra, now give
employees time to develop new products and new
ideas, and then showcase them in employee new
product shows.
This web link brings you to IDEO.com. They are
a design firm that helps clients generate new
product ideas.
12-18: Outsourcing In some cases, companies have trouble moving
through these steps alone, which prompts them to
turn to outside firms.