scholarly journals New Product Development in an Emerging Economy: Analysing the Role of Supplier Involvement Practices by Using Bayesian Markov Chain Monte Carlo Technique

2014 ◽  
Vol 2014 ◽  
pp. 1-12 ◽  
Author(s):  
Kanagi Kanapathy ◽  
Kok Wei Khong ◽  
Rob Dekkers
Keyword(s):  
Monte Carlo ◽  
Product Development ◽  
New Product Development ◽  
Emerging Economies ◽  
New Product ◽  
Emerging Economy ◽  
Project Performance ◽  
Developed Economies ◽  
Supplier Involvement

The research question is whether the positive relationship found between supplier involvement practices and new product development performances in developed economies also holds in emerging economies. The role of supplier involvement practices in new product development performance is yet to be substantially investigated in the emerging economies (other than China). This premise was examined by distributing a survey instrument (Jayaram’s (2008) published survey instrument that has been utilised in developed economies) to Malaysian manufacturing companies. To gauge the relationship between the supplier involvement practices and new product development (NPD) project performance of 146 companies, structural equation modelling was adopted. Our findings prove that supplier involvement practices have a significant positive impact on NPD project performance in an emerging economy with respect to quality objectives, design objectives, cost objectives, and “time-to-market” objectives. Further analysis using the Bayesian Markov Chain Monte Carlo algorithm, yielding a more credible and feasible differentiation, confirmed these results (even in the case of an emerging economy) and indicated that these practices have a 28% impact on variance of NPD project performance. This considerable effect implies that supplier involvement is a must have, although further research is needed to identify the contingencies for its practices.

Drivers and barriers of new product development success: evidence from an emerging economy setting country-Turkey

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Halit Duran ◽  
Serdal Temel ◽  
Victor Scholten
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Emerging Economies ◽  
Assessment Tool ◽  
New Product ◽  
Emerging Economy ◽  
Innovation Activity ◽  
Content Type ◽  
Developed Economies ◽  
Context Characteristics

Purpose Context characteristics of emerging economies differ significantly from those in developed economies. Considering this substantial difference, this study aims to identify the drivers and barriers for new product development (NPD) success in the context of an emerging economy by drawing on the resource-based view. Design/methodology/approach Data was collected from firms in different sectors in the Aegean Region of Turkey using the Wageningen Innovation Assessment Tool. Of 189 responses, 94 fit the criteria and used for statistical analysis. The data is analyzed using a two-step procedure, namely, a confirmatory factor analysis followed by a binary logistic regression that is used to model the probability in the study of the success of NPD. Findings The results reveal that along with the context characteristics of an emerging economy setting, internal capabilities matter for NPD success. Based on interviews with NPD managers, it was found that, among other factors, the close relationship with local customers is key for new product success, while introducing high innovative products to the market of an emerging economy may not be appropriate due to the specific conditions of such economies. Practical implications This study will be useful to the managers to understand the extent to which the degree of newness of a product affects NPD success in an emerging economy setting. It also highlights the importance of securing firm resources before starting an innovation activity in this setting where resources such as financial resources, knowledge and physical resources are limited. From a policy perspective, this study provides certain insights as well. That is, government officials in emerging economies should be very careful about their informal actions that might disrupt the investment and innovation environment. Originality/value Emerging economies are important for large firms seeking growth. They initiate manufacturing activities and increasingly perform innovation activities in those countries. However, the conditions to innovate are different from those in developed economies. Research into the factors that drive innovation is largely in an embryonic state. This study offers NPD researchers a deeper understanding of the drivers and barriers to innovation, particularly internal ones that may affect the NPD success in an emerging economy setting, in this case, that of Turkey. The results provide suggestions for policymakers to consider during the development of new innovation policies. For practitioners, this study outlines novel combinations of internal factors that lead to NPD success.

Reliability and Accuracy of Bootstrap and Monte Carlo Methods for Demand Distribution Modeling

2011 ◽  
Author(s):  
Swithin S. Razu ◽  
Shun Takai
Keyword(s):  
Monte Carlo ◽  
Product Development ◽  
Conjoint Analysis ◽  
New Product Development ◽  
Demand Uncertainty ◽  
New Product ◽  
Product Development Process ◽  
Choice Data ◽  
Product Concept ◽  
Demand Distribution

Estimation of demand is one of the most important tasks in new product development. How customers come to appreciate and decide to purchase a new product impacts demand and hence profit of the product. Unfortunately, when designers select a new product concept early in the product development process, the future demand of the new product is not known. Conjoint analysis is a statistical method that has been used to estimate a demand of a new product concept from customer survey data. Although conjoint analysis has been increasingly incorporated in design engineering as a method to estimate a demand of a new product design, it has not been fully employed to model demand uncertainty. This paper demonstrates and compares two approaches that use conjoint analysis data to model demand uncertainty: bootstrap of respondent choice data and Monte Carlo simulation of utility estimation errors. Reliability of demand distribution and accuracy of demand estimation are compared for the two approaches in an illustrative example.

The role of new product development briefs in implementing sustainability: A case study

2010 ◽  
Vol 27 (3-4) ◽  
pp. 172-182 ◽  
Author(s):  
Effrosyni Petala ◽  
Renee Wever ◽  
Chris Dutilh ◽  
Han Brezet
Keyword(s):  
Product Development ◽  
New Product Development ◽  
New Product
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