Commercialization of Product & Services Essay Example | Topics and Well Written Essays - 750 words

Commercialization of Product & Services - Essay Example It's only after such an analysis that the managers can decide when, how and where to launch their new product. This essay seeks to expound on the implications of launching a new product internationally in terms of commercialization. Degeeter (2004) suggests that before any form of commercialization, there is a need to invoke a strategic plan in order to define the new product in all dimensions. The product being launched into the market wisely identified based on the intention of the subject company. There is a need to come up with a unique product that the company can sustain in the long term in the market. Many economists have recommended the funnel model as the best for identifying a product that can be fully accepted in the market. According to the funnel model, the planning stage should begin by coming up with many ideas regarding possible goods or services and then narrowing down to one specific product by eliminating those that seem unappreciable. At the stage of elimination, the best product is identified by identifying the key characteristics of the products that will make it thrive in the international market. For instance, non-perishable goods and services are more acceptable for long distance transport than perishable goods. Launching, the final stage of product development during a commercialization process, is the most sensitive stage while introducing a new product and especially in foreign market. Launching occurs only when the company has certified that the new product will satisfy the standards that are deemed fit internationally. When the product has been launched into the market, there is never a point to turn back and hence the company has to prepare adequately before launching their product (Vijay, 2009: Han, 2008). International market requires that the market be standardized before it’s forwarded into the various target countries. The international market is characterized by different tastes that may vary from culture to culture, country to country or even from one continent to another. In standardization, there is need to understand the preferences that exists in the different foreign markets in order to come up with a product that will suit every person in the market. At this stage, there is need to conduct a reconnaissance pilot marketing that will assist in the comprehension of the customer value. Dave (2011) suggests that successful products are only those that solve the problems of many people in the global market. Effective entry models in global launch plans are necessary during commercialization process. One of the optimization mechanisms includes the proper timing of the launching period in order to hit the market when the demand of the new product is at a peak (Butler & Gibson, 2011). To do this, there is a need to evaluate the economic trend during the time of launching. The economy of any country has a great influence on the demand of any particular good as it determines the purchasing power of the people. The process of commercialization is expensive especially if the product requires to be rolled out into foreign markets. A lot of money is consumed in the planning, preparation and production stage and hence there is need to enter the market at a time when the returns are expected to be high. Most researchers have proposed that the best time to enter a market is when the economy of the country it at its peak on the ground that