Why do some UK SMEs still find the implementation of a new product development process problematical? An exploratory investigation

Abstract

The long-term survival of a business often hinges upon its ability to successfully introduce new products into the market place. These new products and their successful development can be the lifeblood of a company. Thus, NPD is a major consideration for most organisations. New products can provide the stimulus for the company to grow and produce profitable returns. Additionally, new products can gain new markets and market shares and subsequently help to defend against competitive pressures. Some businesses not only want to accelerate their NPD efforts, they also like to be a ‘first to market’ business. However, this strategy has its own risks as well as competitive advantages. There are numerous cases where businesses first to launch a new product did not profit from their innovations as much as their followers. Therefore, across numerous businesses NPD is one of the leading areas for focus, as companies seek to reduce time to market, access new technologies and develop more and better products. Subsequently, the consistent development and introduction of new products that customers’ value can be an important criteria for business growth and prosperity. This research is exploratory in nature and provides empirical support to several propositions found in the innovation management literature on the development of new products. This paper examined why product development delays occur, the nature of these delays, and what could be done in order to avoid them