Product Management & Information Systems - Module 2 Assignment

Product Management & Information Systems - Module 2 - Assignment Example Internet shopping has been popular because many consumers have internet-enabled phones through which they download apps such as the eBay mobile app (Maceli, 2011). NPD (New Product Develeopment) involves creation of unique products, modification of product as well as the development of new brands through firms’ research and development. Before developing digital products, the manufacturer has to analyse the prevailing audience and trends because understanding the digital footprint helps comprehend information regarding typical usage, acceptance of digital innovation, expertise in technology use as well as other audience habits. Moreover, the manufacturer has to carryout research on the prevailing competition and opportunity because a lack of thorough market research would not warrant development of new product or service. New product development is often difficult since the necessary information resides in customers while the solution lies in the manufacturer and linking the t wo can be costly and lengthy. However, the development of customer knowledge and channels like the internet enable customers to engage with manufacturers’ new product development processes actively because digital products are leveraged through websites, tablets, smart phones and other mobile devices (Strader, 2011). Figure 1. New product development model New product development can be grouped into various perspectives that include rational planning, communication web and disciplined problem-solving. The rational plan emphasises the role of careful planning in order to have an attractive market as well as a successful execution of the plan based on strong from the support management. Communication web in NPD focuses on independent communication among project team members as well as with outsiders, which stimulates performance of development. NPD processes can be categorised in various stages that include idea generation, product development and testing as well as product lau nch and profit management. Improved NPD process decreases the market risks because it builds on the needs of the customer and focuses on market performance of the product. The rate of technological changes in the past few years necessitates new methods of bringing successful products to the market place. Information technology improves NPD flexibility because NPD requires partnership between members of new product both within and beyond the firm. The use of apps by consumers presents opportunities to both the users and developers because consumers are exposed to more information and use of apps offer an opportunity to developers to create increased array of potential apps for consumers. Moreover, as consumers use apps, the developers can view feedback regarding the apps, which enable the developers to publish updates or even design new products (Maceli, 2011). Currently, the development of applications is different compared to the traditional company development because anyone can p lace the application within an app marketplace. Once apps are in the application store the applications can be sold to consumers or the applications made free but sell advertisements that appear in the app, one of the popular free apps is â€Å"Angry Birds† (Maceli, 2011; Cerf, 2011). In the prevailing competitive world, companies no longer rely on price or even delivery to