A taxonomy of relationship approaches during product development in technology-based, industrial markets

Effective relationship management during new product development (NPD) is a n important determinant of new product success in technology-based, industr ial markets. This article investigates whether different relationship appro aches are used by sellers of high-tech innovations during the NPD process. The results of our empirical study reveal that sellers are resorting to two approaches during NPD: bilateral versus unilateral product development rel ationships. Furthermore, the approach used in a particular dyad is aligned with the seller's marketing strategy for the innovation, particularly aspec ts related to targeting (buyer knowledge and prior relationship history) an d product strategy (the extent of product customization). (C) 1999 Elsevier Science Inc.