Determining Potential Product Success

DETERMINING POTENTIAL PRODUCT SUCCESS 3

DeterminingPotential Product Success

DeterminingPotential Product Success

Expandinga business into new areas or products is one of the most effectiveways for safeguarding the success, profitability and sustainabilityof a business entity in the long-term. Indeed, businesses increasetheir product offering so as to capture wider markets and increasetheir sale offering. However, the likelihood or potential for successof a product or service in the market needs to be evaluated prior togetting into the market. This is undertaken through carrying out amarket research. While there are numerous aspects that the marketresearch needs to evaluate, perhaps the most important is whetherthere is a real need for the product in the target market.

Needsdrive demand, which, eventually, drives sales and profits for abusiness entity. In instances where the need is there and is yet tobe met or has not been sufficiently met for the company, it goeswithout saying that the demand would be high. Consequently, therewould be a likelihood that the product will succeed in the market(Lucky, 2012). However, the capacity of the product to meet the needwould not be evaluated in isolation but rather such a variable wouldalso necessitate particular packaging and advertisement of theproduct (Lucky &amp Minai, 2011). Further, the examination of theneed would also necessitate an examination of what the currentplayers (if any) are doing or not doing so as to determine the mostappropriate way of marketing the product in the long-term andshort-term (Ugwushi, 2009). This will allow for the creation of adistinction between the current players and the company in question,thereby creating a possibility for success in the market.

References

Lucky,I.O.E. &amp Minai, S.M. (2011), &quotRe-Investigating the effect ofindividual determinants, external factor and firm characteristics onsmall firm performance during economic downturn&quot AfricanJournal of Management,6(1), pp.

Lucky,O.I.E. (2012). Is Small and medium enterprises (SMEs) anentrepreneurship. InternationalJournal of Academic Research in Business and Social Sciences,2(1), pp.324-340.

Ugwushi,B. I. (2009). SMEs Key Failure-Factors: A Comparison between theunited kingdom and nigeria, JournalSocial Science,Vol.18(3), pp. 199-207.