Developing New Products and Services

Table of Contents

• Licesning Information

• Preface

• Chapter 1: Concepts in the Context of Monopolistic Competition

  • Monopolistic Competition
  • The Importance of Being Entrepreneurial and Being a Short-Term Monopolist
  • The Entrepreneur Should Design Products and Services for Continuous Product Differentiation and Innovation
  • Entrepreneurship Can Be Found in Large and Small Companies
  • The Kingpins of Product Differentiation and Entrepreneurial Innovation Activity
  • Radical and Incremental Innovation
  • Product and Technology Life Cycles
  • Diffusion of a Technology Usually Lags Performance
  • Discontinuities, Chasms, and Hype in the Diffusion Process
  • The Bridge Model of Technology Life Cycle
  • Technologies Do Not Necessarily Fall Into the Abyss: They Become Embedded in New Technology
  • There is Power in Numbers: Network Effects and Metcalfe’s Law
  • The Role of R&D Process in Innovation
  • Push, Pull, and Reload can go on Forever
  • R&D for Start-Ups and Small Businesses
  • Search and the Role of Learning-About in Developing Ideas for New Products and Services
  • Building Things and the Role of Learn-By-Doing in Developing Ideas for New Products and Services
  • The Role of the Supply Chain and the Brand in Product Differentiation
  • Conclusion

• Chapter 2: Fundamentals of Product and Price Differentiation

  • The Demand Curve
  • First-Degree Price Discrimination: Personalized Pricing
  • Second-Degree Price Discrimination: Versioning
  • Third-degree Price Discrimination: Group Pricing
  • Legal Issues Related to Price Discrimination and Product Differentiation
  • Conclusion

• Chapter 3: Differentiation in Action

  • Chapter Introduction
  • Price and Product Differentiation and Enlightenment
  • Generating Additional Revenues: Willingness-to-Pay
  • Demand and Differentiation Dashboards
  • Monopolistic Competition at Work
  • Independent, Complement, and Substitute Goods and Services
  • Price Discrimination and Price Differentiation
  • Irritating Consumers
  • Waves of Innovation Fueled by Substitutes and Complements
  • Arbitrage: Producer’s Paradise and Consumer’s Dread
  • Conclusion
  • Appendix: Determining the Optimal Selling Price Using Demand, Revenue, and Cost Equations

• Chapter 4: Dynamic Tension in Versioning and PD Curves

  • Chapter Introduction
  • Product Differentiation Curves
  • Versioning and Goldilocks Pricing
  • Using Dynamic Tension Differentiation to Develop Products and Services for the Entire Demand Curve
  • Dynamic Tension Between Midas and Hermes Spawns Atlas
  • Midas, Atlas, and Hermes Versions
  • Bottom of the Pyramid
  • Versioning Restaurants, Hotels, and Motels
  • Versioning Commodity and Standardized Products
  • Versioning Strategies
  • Version Rollout Strategies
  • Customer Segments and Midas, Atlas, and Hermes Versions
  • Pricing and Product Differentiation Strategies
  • Dynamic Tension in Action at Singapore Airlines
  • Conclusion
  • Addendum on Pareto Economics, Welfare, and Efficiency

• Chapter 5: Examples of Product Differentiation & Versioning Curves

  • Chapter Introduction
  • Versioning Automobiles
  • Versioning at Dell
  • Versioning at Microsoft
  • Versioning Wireless Communications
  • Versioning at Apple
  • Versioning e-Books
  • Versioning Digital Content
  • Versioning Digital Entertainment
  • Versioning Disease Treatments
  • Conclusion

• Chapter 6: Facilitating Creativity and Innovation

  • Chapter Introduction
  • The Creative Process is Inherently Nonlinear
  • The Lonely Genius
  • The Habits of Successful Entrepreneurs
  • Environmental Factors Affecting Creativity and Innovation
  • How to Hinder Creativity
  • Embrace Some Adversity and Avoid Chronic Stress
  • Creativity Techniques
  • Conclusion

• Chapter 7: Conceptualizing Products/Services Using FAD

  • Chapter Introduction
  • Features, Attributes, Form, Design, Function, and Meaning are Interrelated Concepts
  • Meaning and Product Design
  • Functional Design and User Ignored
  • Identifying Key Meanings, Attributes, and Features
  • Design Products and Services that Facilitate Control
  • Categorizing the Importance of Product Attributes
  • The FAD Template
  • Developing Blue Ocean Markets from Complementary Products and Services
  • Avoid the Swiss Army Knife Approach to Product Differentiation
  • Conclusion
  • Exhibit 1: FAD Template
  • Design and Prototype Product or Service
  • Appendix 1: Examples of Prototypes
  • Appendix 2: FAD Template for Wine Aging Product
  • Design and Prototype Product or Service

• Chapter 8: Strategic Planning and Ten–Ten Planning

  • Chapter Introduction
  • Planning Concepts
  • The Planning Process
  • Analytical Approaches for Strategic Planning
  • Conclusion

• Chapter 9: The Ten–Ten Planning Process: Crafting a Business Story

  • Chapter Introduction
  • Organizational and Industry Analysis Template
  • Business Plan Overview Template (Mantra, Mission, Money, Goals, Objectives, and Tactics)
  • Developing an Executive Summary: Crafting a Business Story
  • Extending the Wine Aging Cooler Example Using the Ten–Ten Templates
  • Conclusion
  • Appendix: Illustrations of Completed Ten–Ten Templates and an Executive Summary for the AddVintner Star
  • Sample Business Plan
  • Executive Summary (first draft not for distribution)

• Chapter 10: Lock-In and Revenue Growth

  • Chapter Introduction
  • Lock-In Leads to Network Effects and Increased Product Performance
  • Switching Costs are Everywhere
  • A Lock-In Index
  • The Downside of Lock-in
  • Outsourcing and Lock-in
  • Customer Acquisition, Customer Retention, and Lock-in
  • Conclusion

• Chapter 11: Valuing the Business

  • Chapter Introduction
  • Why are Businesses Bought and Sold?
  • Overview of Business Valuation Techniques
  • Controlling and Noncontrolling Interests
  • Specific Valuation Techniques
  • Valuing Start-Up Businesses
  • Examples of Valuation
  • The Importance of Growth Rate on Firm Value
  • Conclusion

• Chapter 12: Developing a Business Plan

  • Chapter Introduction
  • Purpose of the Business Plan
  • Approaches for Developing Business Plans
  • Prototyping the Product or Service
  • Business Plan Template
  • Writing, Organization, and Formatting: Helping the Reader to Read
  • Business Presentation
  • Identifying Potential Investors
  • Angel Investors
  • Venture Capital Funds and Venture Capitalists
  • Contingency Planning and Risk
  • Due Diligence
  • Legal Issues
  • Conclusion

• Chapter 13: Project Management for New Products and Services

  • Building-the-Business Phase
  • Why Project Management is Beneficial
  • What is a Project?
  • Launching the Business or Project
  • Launch Date
  • Growing Up and Professional Management
  • Conclusion
  • Exhibit 1: Project Management Individual Diary
  • Exhibit 2: Project Management Summary Diary

• Chapter 14: Re-priming the Business Using Real Options Concepts

  • Investment Decisions
  • Real Options
  • The Role of Real Options in Investment Decisions
  • The Influence of Interaction Effects on Investment Decisions
  • The Influence of Competitor’s Response on Investment Decisions
  • The Strategic Actions Model: Combining Interaction Effects and Competitor Response
  • The Project Selection Model: Considering Risk and Reward
  • Conclusion

• Chapter 15: Wrap-Up

• References