Enhancing Business Strategy through Product Development Strategy

FILL IN THE BLANK. Under Armour's decision to add athletic shoes to its apparel line in 2006 and sell these to their existing customers, is an example of a product development strategy.

What is a product development strategy?

A product development strategy involves creating new items or altering old ones to make them appear brand-new, then introducing those products to existing or emerging markets. When carried out effectively, it can result in increases in sales and market share. Developing a new product is frequently as easy as taking an existing one, making a few minor changes, and selling it to your current market. Customers who already own the existing version of your product may decide to purchase your new one because this offers value for them. A good illustration of this is Apple. Market research, user research, testing, and product launch are some of the internal product development strategies.

Explain the significance of product development strategy for businesses.

Product development strategy is crucial for businesses as it allows them to stay competitive in the market by continuously offering new and improved products to their customers. By developing new products, a company can meet the changing needs and preferences of consumers, expand their market reach, increase sales, and enhance brand loyalty. It also enables businesses to differentiate themselves from competitors and maintain a strong position in the industry.