Strategy of a new product introduction on the market (example of construction sector)

Abstract

The process of launching of a new product on the market is a test of technical qualities selection accuracy and the marketing concept of a product. A high level of risk due to unacquaintance of an offered product on the market accompanies this stage. This is particularly important if the process before appearance of a new product on the market was very expensive, e.g. a lot of funds was spent on research and development. Anyway, not only the level of applied technology decides on success on the market. It is crucial to prepare a marketing concept of the product that would be the basis to determine other instruments influencing the market. The preparation of the product's offer should start with determination of the novelty level both for a company and the market. This analysis would enable to choose the strategy: if the product is not a genuine novelty it is possible to base on previous experiences and the analysis of launching process of similar goods. If the product is defined as a new one all preparatory works would include a thorough analysis and risk minimalization. The strategy of launching of a product on the market covers many aspects of the market offer development but the product policy has a leading role.