Question

Why do so many new products fail? Do you think that a product fail can be turned around? Why or why not?

Please write personal perspective. Please type it up, because hand writing is sometimes hard to understand

Answer 1

Why do so many new products fail?

The reasons why new products fail are as below:

1. Consumer needs: The product is unable to understand the customer needs and hence is not able to cater to the demand of the masses. This happens when the firm hasn't done effective marketing research or R&D that the product is made incapable to make a mark.

2. Non-existent problem: Firms sometimes try to find the problems which do not exist and hence work for solving them. The products thus made have no or less demand and they ultimately fail. Sometimes, firms anticipate a demand too early but customers do not respond it with demand and hence the product fails.

3. Wrong market: Firms sometimes target a wrong target segment which does not comply with the product and hence no demand is created for the product. For example, a niche product when sold to masses may prove to be a failure.

4. Incorrect price: The products which cater right customers but have incorrect price may make it non-economical for the firm to sustain the operations. Hence, the product along with a firm fail in this scenario.

5. Weak team: The team, if incapable to sell the product in sufficient quanitity may cause the failure of the product.

6. Delayed entry: Sometimes when the product enters the market later than the demand peak, it fails due to competitors already catering the consumers and making them loyal.

Do you think that a product fail can be turned around? Why or why not?

Yes, a product fail can be turned around. This depends on various factors like -

1. Time available: If the time available to change the product is much, then more efforts can be put in to revamp the product and hence failure can be turned around.

2. Budget available: The budget available with the firm play a vital role. Higher the budget available more is the possibility to execute a revamp attempt.

3. Company leadership: The company's leadership also makes decisions regarding the same. If the higher management does not see any juice in revamping the product, we can't do much.

4. Proper market research: A bad product can be made good by assessing the customers again and making a product which conforms to their needs.

5. Hiring good team: A driven and aggressive team may prove to be an effective factor in the sales of a product.