DELIBERATE PRODUCT DEFINITION - CUSTOMIZING THE PRODUCT DEFINITION PROCESS

The process of product definition, during which a firm establishes the product specifications, has a vital influence on the success of a pro duct but has attracted little attention from researchers. Conventional wisdom stipulates that a firm should finalize its specifications earl y in the product development process. However, in industries facing ra pid technological change, stiff competition, and uncertain customer ne eds, specifications set too early could become outdated by the time of market launch, thereby decreasing the product's benefits to the custo mer. The authors discuss an alternative approach, in which a firm dela ys commitment to product specifications and finalizes them just in tim e for the market launch after careful deliberation, thereby benefiting from the evolution of core technologies and customer preferences. Bec ause such an approach introduces new managerial challenges, it would b e appropriate only under certain circumstances. The authors develop a simple model of the product definition process that offers insights ab out how a firm should customize the process to suit its needs. They ca pture these insights as a managerial framework and illustrate them wit h industry examples involving the development process for laser printe rs and network test kits.