New Product Development Group Gerry Assumes That Case Study

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New Product Development Group

Gerry assumes that because Maria has been successful as a small entrepreneur that her business will easily be integrated into a much larger-scale operation. Although her product has national distribution, this does not necessarily translate into widespread market demand for all demographic groups. Food is very regionalized in terms of eaters' preferences (for example, deep dish pizza is popular in Chicago while 'skinny' pizza is popular on the east coast). Maria's tacos may have an audience, but it does not necessarily coincide with that of Manchester Food's audience. Furthermore, some foods work well as small scale operations but do not as a mass-produced product. For example, on the streets of New York, halal food in like grilled lamb in pitas is very tasty and affordable but this has not translated into generic fast food success for this item. Maria's idea for Sudden Seafood seems more of a niche product: neither appetizing nor with a clearly-defined audience for all but a handful of consumers.

2. Maria is certainly being too sensitive to criticism. She is a small purveyor who has had the extreme good fortune of being given a wider audience for her product. Rather than attempting to work with Manchester Foods, she is being very resistant. This shows that Maria's mindset has not shifted. She is no longer the sole person in charge of her single product. Instead, she is part of a larger organization and must adjust her worldview to that of Manchester Foods' worldview.

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As a sole proprietor, she had the luxury of not using the tools of market research if she did not want to use them. In fact, the expense of market research may not be justified given the size of her original company Tornado Tacos. However, for a larger organization, effective market research is essential. Maria is not only being stubborn, she is failing to avail herself of the useful resources that could potentially be provided to her in the context of her new relationship. In other words, Maria needs to provide data-driven evidence that her strategy will work and she must become more of a team player.

3. The larger the organization and the larger the potential audience, the greater the investment must be made in justifying the launch of new product. Although creativity can be important and spontaneous, creative exercises may be allowed when promoting a product on a 'small scale' level more intensive market research (such as focus groups and surveys) are preferred when shaping the PR campaign and deliverables of a risky new item on a mass scale.

4. The success for Maria's new products seems unlikely. The target market for health convenience seafood is very narrow and very limited in both its geographic and demographic outreach. The market for Maria's energy drink goes against current trends in soda demand (and may even flout the law, given….....

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