Attributes of product advantage and choices for manufacturer–retailer formal governance: the case of new product launch

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Songyue Zheng ◽  
Liping Qian ◽  
Pianpian Yang
Keyword(s):  
New Products ◽  
New Product ◽  
Product Launch ◽  
Governance Mechanism ◽  
Relational Governance ◽  
Informal Governance ◽  
Content Type ◽  
New Product Launch ◽  
Product Launches ◽  
New Perspective

PurposeThis study examined how the technological (tech) advantage and market advantage of new products influence the level of formal channel governance and, in turn, affect the success of new products in the presence of relational governance.Design/methodology/approachThe hypotheses are tested using the partial least squares approach to analyse survey data collected from 392 retailers of customer goods in China.FindingsThe results indicate that tech advantage and market advantage lead to an increase in retailers' transaction-specific investments (TSIs) and contract explicitness, respectively; the positive effect of market advantage on a retailer's TSIs will gradually decrease and will even become negative beyond a certain point. The relational governance mechanism can substitute for the effects of contract explicitness on improving new product success.Originality/valueThis research provides a new perspective for understanding new product advantage and exerts an initial effort to empirically distinguish between tech advantage and market advantage. It enriches the innovation literature by examining the governance of new product launches through retailers and explores the effects of formal and informal governance on channel cooperation performance in the new product launch stage.

The role of brand innovativeness on attitudes towards new products marketed by the brand

2019 ◽  
Vol 29 (5) ◽  
pp. 569-581
Author(s):  
Blandine Hetet ◽  
Claire-Lise Ackermann ◽  
Jean-Pierre Mathieu
Keyword(s):  
Brand Equity ◽  
New Products ◽  
New Product ◽  
Product Launch ◽  
Product Evaluations ◽  
Two Stage ◽  
Content Type ◽  
New Product Launch ◽  
New Findings ◽  
Brand Innovativeness

Purpose This paper aims to examine whether perceived brand innovativeness has a positive effect on new product evaluations, which individual variables mediate and moderate this effect and whether perceived brand innovativeness is reinforced by new product launch. Design/methodology/approach A total of 387 adults residing in France took part in a two-stage study. The two-stage research design aimed to investigate the effect of the introduction of a new product on brand perceptions. The innovation context used to test the hypotheses was the launch of a new electricity meter in the French market. Findings Brand innovativeness affects the way consumers evaluate new products launched by the brand. This effect is mediated by perceived newness and moderated by functional, hedonic and social consumer innovativeness. In addition, attitudes toward the brand improve as a result of the new product launch. Research limitations/implications Future research should test these hypotheses with other product categories and populations to provide external validity for the results and further investigate lack of support for some of the hypotheses. Practical implications The study’s findings highlight that the ability to develop and launch innovative products is not only know-how that is critical to innovation management but also a brand attribute stored in consumers’ minds that facilitates acceptance of the brand’s future new products. Originality/value This research addresses the underexplored question of how brand innovativeness and new product launch are interrelated. Extensive research has indeed shown the importance of customer-based brand equity and brand knowledge in evaluation and acceptance of new products. However, research on customer-based brand equity so far has paid limited attention to brand innovativeness. This research provides new findings on the relationship between brand innovativeness and new product evaluations.

Strategic delegation, quality competition, and new product profitability

2015 ◽  
Vol 53 (3) ◽  
pp. 713-729 ◽  
Author(s):  
Hyun Shin ◽  
Jongtae Shin ◽  
Shijin Yoo ◽  
Joon Song ◽  
Alex Kim
Keyword(s):  
New Products ◽  
New Product ◽  
Quality Competition ◽  
Strategic Delegation ◽  
Content Type ◽  
Financial Outcomes ◽  
Rival Firms ◽  
New Perspective ◽  
Duopolistic Market ◽  
Low Sensitivity

Purpose – The purpose of this paper is to present a new perspective on the marketing-R & D interface by modelling firms that develop new products in a duopolistic market. Design/methodology/approach – By using a game-theoretic modelling approach, this study examines strategic delegation, through which the marketing and R & D managers of each firm are given authority over pricing and new products’ quality levels. Findings – Interestingly, the study finds that the case where two managers with conflicting incentives negotiate (the horizontal coordination case) might produce a better financial outcome than when the managers’ decisions are perfectly coordinated by a profit-maximizing CEO (the vertical control case). In addition, the study identifies several conditions that guarantee horizontal coordination’s generation of higher profit, such as high (or low) sensitivity to the quality (or price) of a new product. The paper further shows that two competing firms may select horizontal coordination as a Nash equilibrium. Practical implications – These findings provide new insights into the role of marketing-R & D interaction under strategic delegation, which may allow rival firms to “spend smart” on R & D, avoid excessive (and unnecessary) quality competition, and thus enhance the profitability of new products. Such insights would be useful for any firms under budget constraints. Originality/value – To the authors’ knowledge, this paper represents the first attempt to analyze how delegation interacts with the conflicting incentives of marketing and R & D managers, which in turn affects the quality investment decisions, competitive intensity, and, ultimately, the financial outcomes of new products developed competing firms.

Relevance of salespeople profiles: an analysis in an emerging economy

2019 ◽  
Vol 38 (4) ◽  
pp. 433-448
Author(s):  
Luis Arditto ◽  
Jesus Cambra-Fierro ◽  
Ana Olavarría ◽  
Rosario Vazquez-Carrasco
Keyword(s):  
New Product ◽  
Emerging Economy ◽  
Sales Force ◽  
Structural Equations ◽  
Product Launch ◽  
General Interest ◽  
Retail Sector ◽  
Content Type ◽  
New Product Launch ◽  
The Impact

Purpose The purpose of this paper is to analyze the impact of the salespeople profile (i.e., effort, commitment and creativity) – and its degree of market orientation (MO) – on the success of new product launch and sales outcomes. An emerging economy context is taken as a reference. Design/methodology/approach A structural equations model is proposed. The data are based on a sample of retail sector sales managers in Peru. Findings The results indicate that salespeople effort, creativity and degree of MO influence overall sales performance. Salespeople commitment, however, does not have a significant impact. These antecedents are helpful when attempting to understand both the potential success of a new product and sales outcomes. Originality/value There is no evidence to date of studies that simultaneously assess the impact of seller profiles and degree of MO on new product launch success and sales outcomes. This paper breaks new ground in analyzing this phenomenon in the context of an emerging economy. The findings are of general interest both for sales force management and for companies interested in familiarizing themselves with the peculiarities of emerging economies and the potential need to adapt policies to these specific realities.

ARE INNOVATIVE ORGANIZATIONAL CONCEPTS ENOUGH FOR FOSTERING INNOVATION?

2012 ◽  
Vol 16 (01) ◽  
pp. 1250005 ◽  
Author(s):  
JASNA PRESTER ◽  
MARLI GONAN BOZAC
Keyword(s):  
Positive Impact ◽  
New Products ◽  
New Product ◽  
Product Launch ◽  
Organizational Practices ◽  
Chi Square ◽  
Chi Square Test ◽  
Product Launches ◽  
The Difference ◽  
The Impact

The purpose of this article is to define which organizational practices have significant impact on returns from new products or which foster or at least influence positively innovation. Survey responders were divided to see whether they innovated or not by the survey questions which explicitly asked them if they have introduced new products in the last two years. With Chi Square test, we identified the difference in usage of certain organizational practices. After that, two multi-regression models showed the impact on launching a new product and their impact on generated returns from new products.There is a significant statistical difference in usage of these four practices between innovators and non-innovators: temporary cross-functional project teams, quality circle, ISO 9000, financial participation by employees. Regression analyses showed that for new product launch, quality circles and ISO900 have a positive impact. Since not all new product launches do not become successes when regressed to returns on new products, team performance incentives and knowledge-based systems have a significant positive impact. To our knowledge and through our literature research, we did not find works that explored the impacts of innovative organizational concepts on the final result — innovation. Most studies focused only on some organizational innovations and their impact on innovation. Here we present an overall overview of innovative organizational practices, why they are mostly used and identified those which mostly influence innovation.

scholarly journals New Product Launch For Eagle Brand: Marketing Management Case Study – A And B

2016 ◽  
Vol 12 (4) ◽  
pp. 177-198
Author(s):  
Amy MacMillan
Keyword(s):  
Market Competition ◽  
New Product ◽  
Young Female ◽  
Current Data ◽  
Product Launch ◽  
New Product Launch ◽  
Company Culture ◽  
Product Launches ◽  
Management Case Study

This two-part case study provides a realistic, thought-provoking, and mildly entertaining venture into the world of new product launches.  Structured questions are posed at the end of each case, with suspense and information building from Case A to B.Case A asks whether and how to champion a new product launch internally, while Case B additionally explores how to sell the idea externally with a marketing plan.  Both case studies are intended for undergraduate marketing or management classes.Ambitious, young Abbie MacFeldon joined a consumer packaged goods company as Brand Manager of its biggest brand, Eagle shoe care. She identifies the need for a new product, a line extension within her brand – a mature brand in need of new life.  Her manager applauds her initiative but says this idea was tried before and failed. The reader learns information about the market, brand, consumer, and company through historical and current data, employee bios, and meetings between Abbie and her colleagues. The reader is asked whether Abbie may have a big idea after all, and if so, how it should be marketed.  To make these decisions, readers evaluate external factors (market, competition, consumer, trends) and internal factors (strategic fit, brand image, cost, feasibility, resources).  Furthermore, the case provokes the reader to think about how a brand manager can overcome initial rejection, build and motivate a team, and convince top management. The case explores the role of company culture, including age, gender, and tradition, and how the young female protagonist can address these.

Forecasting Denosumab

2017 ◽  
pp. 1-15
Author(s):  
Tim Calkins ◽  
Aggarwal Nayna
Keyword(s):  
Sensitivity Analysis ◽  
New Products ◽  
New Product ◽  
Product Launch ◽  
New Product Introduction ◽  
Product Introduction ◽  
New Product Launch

This case looks at an important business task: forecasting a new product. The case can be used to teach finance, marketing (new product introduction), and healthcare strategy. The product is one of Amgen's most important new products: denosumab. On the surface, the case is fairly easy; students simply have to do some simple mathematical calculations. However, the challenges of forecasting quickly become apparent; every forecast depends on some critical assumptions, and the answer can vary dramatically.Highlight the importance of forecasting as a business task. Give students the opportunity to create a forecast, using logical assumptions to generate an answer. Illustrate how dramatically forecasts can vary. Demonstrate why sensitivity analysis and customer understanding are both critical when trying to forecast a new product launch.

scholarly journals Leveraging social network sites for new product launch

2017 ◽  
Vol 117 (10) ◽  
pp. 2400-2416 ◽  
Author(s):  
Deborah Lynn Roberts ◽  
Marina Candi ◽  
Mathew Hughes
Keyword(s):  
Social Network ◽  
Online Survey ◽  
Word Of Mouth ◽  
Social Network Sites ◽  
New Product ◽  
Product Launch ◽  
Societal Implications ◽  
Media Campaigns ◽  
Content Type ◽  
New Product Launch

Purpose The ability to make use of social network sites (SNSs) to promote new products and facilitate positive word of mouth around new product launch (NPL) presents an important opportunity. However, the mechanisms and motivations of SNS users are not well understood and businesses frequently fail to realise these opportunities. The purpose of this paper is to examine some of the forces that motivate people to spend time on SNS sites and how these motivations are related with people’s propensity to engage in behaviours that can be beneficial for NPL. Design/methodology/approach Hypotheses are tested using data collected using an online survey from a broad sample of SNS users worldwide. Findings People who spend time on SNSs to be challenged, to escape, or to connect with others are more likely than other users to pay attention to advertisements on SNS. Users that spend time on SNSs in the pursuit of information, to be challenged, or to connect with others are more likely than other users to provide word of mouth reviews and recommendations about products. Research limitations/implications The authors make an empirical contribution to knowledge by providing evidence about the categories of user motivations for engagement with SNSs that might be related with their contributions to NPL activities, namely, paying attention to advertisements and providing WOM recommendations. Practical implications By understanding what motivates SNS users, firms can identify potentially valuable users and develop a more strategic and targeted approach to NPL. This can help firms turn disappointing social media campaigns into more successful ones. Social implications Whilst the growth in usage of SNS has important implications for business and NPL there are also wider societal implications. Arguably, even before the widespread adoption of SNSs, society has been in a state of flux and transition as people sought to liberate themselves from the norms and social codes of previous generations. We have witnessed a rise of individualism, associated with values such as personal freedom and where people actively construct their own identities. Somewhat ironically, individualism has motivated people to seek alternative social activities and form communities, such as those on SNSs where they can fulfil their need for connection and belonging. SNSs appear to have accelerated this trend. Originality/value This study provides new insights about the use of SNSs for NPL and what motivates users to engage in behaviours that are beneficial to NPL.

Cost of quality consideration following product launch in a present worth assessment

2016 ◽  
Vol 33 (3) ◽  
pp. 399-413 ◽  
Author(s):  
Jeff Guinot ◽  
Dustin Evans ◽  
M. Affan Badar
Keyword(s):  
New Product ◽  
Cash Flows ◽  
Product Launch ◽  
Potential Cost ◽  
Content Type ◽  
Cost Of Quality ◽  
New Product Launch ◽  
Present Worth ◽  
Automobile Manufacturer ◽  
The Impact

Purpose – The purpose of this paper is to investigate the impact of costs of quality on the present worth (PW) of a new product launch at a North American automobile manufacturer. Design/methodology/approach – The paper is based on the examination of various cash flows associated with a new product launch within an automobile manufacturer. Standard cash flows and a PW analysis were examined and compared to non-standard cash flows which take into consideration post-launch cost of quality (CoQ). A sensitivity analysis was used to determine if any CoQ factors affected the integrity of the product launch. Findings – The paper concludes that there is an impact on the PW of a program when CoQ is considered as a cash flow element. CoQ should be considered in a product launch PW analysis preceding any commitment to invest. Research limitations/implications – This study suggests that, given data on the costs that will accrue assuming standard quality concerns following product launch, and the occurrence of special cause issues, the business case can establish a better estimate of the costs a program will face under varying levels of post-launch quality. An understanding of the potential cost consequences of quality issues can shape the understanding of the risks in a planned project. Practical implications – The paper shows that CoQ can have a significant impact on a PW analysis. CoQ concerns should be considered during pre-launch planning of a new product. Originality/value – The paper satisfies the need to study when a manufacturer considers investment in the launch of a new product with CoQ concerns.

scholarly journals The impact of information integration on purchase order finance and new product launch: a case study

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Min Zhang ◽  
Qiuping Huang ◽  
Xiande Zhao ◽  
Lijun Ma
Keyword(s):  
Information System ◽  
Supply Chain ◽  
Social Interaction ◽  
Information Integration ◽  
System Integration ◽  
New Product ◽  
Product Launch ◽  
Content Type ◽  
New Product Launch ◽  
Information System Integration

PurposeIn this study, we examine the implementation of purchase order finance (POF) which is an innovative supply chain finance (SCF) solution by an innovative SCF lender (i.e. supply chain service provider (SCSP)). The effect of information integration between the SCSP (lender) and product designers (borrowers) on the lender's POF decisions and the borrowers' new product launch is investigated.Design/methodology/approachWe conduct a case study in the Chinese smartphone industry. A mixed methods design is used, and data are collected from both the supply chain service provider (SCSP) and product designers. We first conduct a qualitative study. Hypotheses are developed concerning the relationships between information integration, in terms of social interaction and information system integration, POF and new product launch. We then conduct a quantitative study. The multilevel structural equation modelling method is used to test the hypotheses.FindingsWe find that information system integration is positively associated with POF but has no significant effect on new product launch. Social interaction is negatively associated with POF but positively associated with new product launch. POF is positively associated with new product launch.Originality/valueThis study contributes to the literature by empirically examining the implementation of POF from both the lender's and borrower's perspectives. We find that information system integration and social interaction have different effects on POF and new product launch. The results thus provide insights into how a lender makes POF decisions and reveal the benefits of POF for borrowers.

The role and impact of firm’s strategic orientations on launch performance: significance of relationship orientation

2016 ◽  
Vol 31 (5) ◽  
pp. 625-639 ◽  
Author(s):  
Minna Matikainen ◽  
Harri Terho ◽  
Petri Parvinen ◽  
Anne Juppo
Keyword(s):  
New Product ◽  
Product Launch ◽  
Cross Sectional ◽  
Content Type ◽  
Strategic Orientations ◽  
New Product Launch ◽  
Relationship Orientation ◽  
Performance Effects ◽  
Mediating Mechanisms

Purpose This study examines the role and relative impact of market orientation, product orientation and relationship orientation on new product launch performance, investigating product advantage and market-based assets as alternative mediating mechanisms, which link these strategic orientations to launch performance. Design/methodology/approach Survey data from the pharmaceutical industry are used to test hypotheses in the research model using partial least squares modeling. Findings Findings show that while each examined strategic orientation relates positively to launch performance, their performance effects and related mechanisms vary significantly. Results demonstrate a firm’s relationship orientation is the strongest predictor of launch performance, and accumulated market-based assets represent an alternative relational mediator besides product advantage linking firms’ orientations and launch performance. Research limitations/implications The empirical study is based on cross-sectional data collected in one specific industry sector. The authors encourage researchers to confirm the key findings in different industry and other contextual settings. Practical implications New product launch can be effectively managed as a relational activity. Firms benefit from paying explicit attention to strategic orientations and relationships. Especially, top management should foster a relationship-oriented organizational culture, develop relational competences and fully use the firm’s accumulated market-based assets for increased launch performance. Originality/value The study extends knowledge on the role of strategic orientations in launch performance by highlighting the significance of relationship orientations and providing novel knowledge on the key mediating mechanisms between strategic orientations and launch performance.

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