Chapter 11-Developing and Managing Products

The coca-cola company introduced a guy named Victor Behrmann who is head of the groups  for Europe,Eurasia and Africa and he spoke for the product development in December. In the product development they have a stage called stage-gate model. which is a period of work and a gate in the decision making point and each stage is follow by a gate. the gate closes and open allowing the project to move n to the next stage. Some of the gates were returning to the same stage which is improvement, termination of the gate keepers fail to make a decision, suspension and proceeding positive decision.  

The key elements of the stage gate model are the idea which is the consideration of technology and market trends. they have assessments of competition and consumer needs. Consumer recommendations and brainstorming. Building a business case which is technical feasibility, risk analysis, investment plan, brand alternatives, communication alternatives.the company also makes a research with the similar products threw out the world and finds niches in the global market. Coca-cola does thorough research of the market, competition and the projected revenue before putting a new product on the market, the company does not publicly display this research but it is understood that by holding many surveys it becomes easy to project the demand for the product

Development is basically technical solutions, supply chain plan, investment prospects, surveying consumer use and perception of the product, quantitative testing of consumers and brand name. Coca-colas when developed a prototype the taste of their product does not lose its texture and color, it will maintain its uniqueness. When coca-cola develop a prototype they supply samples to their projected target market in order to understand what to change and improve in the product. Coca-cola also does a Preparations for launch which is commercial solutions, supply chain capacity, pricing, product design, communication plan for consumers, sales plan. they are very good at this because when any product that comes out new in there line they know how to launch it very well.Marketing activities which in the coca-cola company is very important. Its market supply, quality assurance, preparation of sales and distribution plans, sales promotion, samples, advertising, monitoring awareness and testing.

Commercialization is also very important its ensuring the great exposure and focusing on the availability in the retail store the connect with. Commercialization decides the start of production, build inventories and building the infrastructure of sales and distribution. When making a new product coca-cola its easier in these aspects because the company already has most of the infrastructure, space and ability to produce in any quantity. Coca-cola has an experienced team that trains new employees and inject belief and commitment to their sales teams. they know what there doing.