Pioneering New Products
IN THIS SUMMARY
All businesses, institutions, governments, and cultures either grow through innovation and change or die without them. Businesses must be flexible in the face of change and able to develop products quickly and efficiently. Aggressive leadership and pioneering will allow businesses to survive in this era of economic turbulence, companies must display market knowledge, creativity, and new product development skills in order to stay alive. Product development can also create teamwork, maintain receptivity to change, stimulate creativity, and enhance motivation throughout all areas of a company. Although profits are the end, rather than the means, of business, creating customers and innovating products should be the essential business activity of any company. You can judge the vitality of a company by the number of new products it brings to the market. However, there are several trends in American business that are obstacles to new product innovation. Among them are corporate mergers, the focus on short-term results, and lack of patience for long development cycles. Institutional investors that control the capital markets must start opting for long-term appreciation instead of reacting to the securities industry's desire to drive up trading volume on Wall Street. Capital markets force executives to produce financial results on a three-month deadline.