Which of the following statements about new product development strategy is correct?

A. New products are not a major source of growth for companies.

B. Good advertising creates successful new products.

C. A new product will succeed as long as it is priced correctly.

D. New products are usually successful because consumers like new things.

E. Innovation can be very expensive and very risky.

Question

Business

Sidney Shepherd

25 December, 10:45

Which of the following statements about new product development strategy is correct?

A. New products are not a major source of growth for companies.

B. Good advertising creates successful new products.

C. A new product will succeed as long as it is priced correctly.

D. New products are usually successful because consumers like new things.

E. Innovation can be very expensive and very risky.

+4

Answers (1)

Know the Answer?

Aracely Brown · Answer 1

Answer: Option B

Explanation: In simple words, innovation refers to the process under which an individual or an organisation produce a new product by using new technology or methods. In other words, innovation means new ideas generated out of creative thoughts.

Innovation is always promoted as it brings unlimited profits for an org nation but there is a high downside risk as one has to employ large amount of resources in the research work for innovation.

Even after employing this much resources it is not guaranteed that the innovation will be successful and can result in total loss of time and money.