Several Steps of the Commercialization Process to Achieve Success - Example

Novelty Proposal By Presented to Novelty Gifts company Introduction The novelty gift company is a company focusing on the production of gift items, which can be used to improve the Trust. The completion of the company’s proposal and agreement will be done based on the success of the gift program to the Canal trust. The focus of the company is to improve the performance of the Canal trust. The gift items to be developed include the development of executive toys, earring and bangles. The ability of the company to support the trust will depends on the ability to make quality products and develop the necessary platform to sell the products. Demand The demand for Novelty products such as executive toys, personal gifts is usually constant, but changes according to the changes in the seasons and important events. However, the demand occurs all the year round making the company profitable. Innovation The success of a business idea is on the ability to own it through the patent. The patenting of business ideas ensures that the idea is by the organization, and any of its use will lead to monetary value. The major challenge with patents is the process involved in obtaining the patents. The patents are to be used to protect intellectual property such as software. Changes in design and technology must be evaluated on the basis of success that they can bring to the society while the originators must be able to obtain a reward from the advancement. The commercialization process involves several steps that must be addressed in order to achieve success. These steps include; invention disclosure and assessment disclosure. Upon receiving the invention, the review offers insight on whether the protection of intellectual property is necessary. The major challenge has been the rights of the initiators who may be employees of the company. In order to succeed, the company must have a reward system that recognizes the role of the employees in innovation. It is vital for the employees to own the innovation which will in turn encourage creativity within the organization. Individuals should be allowed to apply for patents for their innovations because they own it and it should not be taken away from them. However, the current situation does not encourage individuals to apply for intellectual property ownership leading to the development of several issues including fear and loss of wealth generation opportunities (Mauzy, 2006). The failure to address such issues affects the creativity of the employees leading to reduced improvement in technology. When individuals own patents, it is easier for other to struggle to develop new technology because there is room for creativity (Cacioppe, 2000). For the Novelty product the patenting is based on the Idea created by the founder of presenting gift items made from wood and are hand woven. Feasibility The project has the ability to succeed with the focus being on the provision of the Gifts and other activities associated with the company. The company focuses on the development of sanitary and other related products. Making the gift company will be able to develop the necessary platforms for development and improve the growth of the Canal River Trust. Attraction Pricing is an important aspect of marketing because it may be an advantage or disadvantage for the company. Consumers rely on affordability as a vital aspect of their preference. However, the price is affected by the production process and technological sector. However, pricing is a vital aspect in the marketing strategy of organizations. The role of pricing is in marketing of the company’s product and the globalization process. However, the pricing of the company’s product must resonate with the consumers. Pricing may affect the development of brand image. The development of brands is dependent on the four main issues in the marketing mix. A strong brand is characterized by ability to drive the shareholder value; therefore, it is managed by brand marketers who ensure an active buy-in from all stakeholders. The brand is valued in financial terms and is classified as an asset to the company during the calculation of profits and loss. Because of being part of the organization, it is an integral part of the organization covering a variety of business dimension. The brand, owing to the ability to quantify the value of the brand can be used in obtaining loans or be bought as an asset. It is believed that there are four factors associated with the Brands; these four factors influence the strength of the brand. The four factors are; affinity, challenge, fame and price. Product A great brand is usually backed up by a great product. A product as explained by Sandhusen is anything offered to potential customers to serve their needs. For the development of Novelty products, the target market and the pricing of the product must ensure that it is affordable and easy to use. The company will focus on collectables which include handbags, toys, bangles, toys and other items that could be used as memorials. The major area of focus of the company is the toys. The company intends to manufacture expensive toys for the clients of the Canal River Trust. The aim of the product is to improve the performance Canal Trust by increasing sales or generation of revenues. The product of focus is the mass manufacture of toys focusing on children. The toys will be made from recycled plastics reducing the cost of manufacture and increase productivity. The Toys will be for children of below twelve years who visit the Trust. The product will encourage parents to engage in the Trust thus increase the success of the company. Price Price in its simplest term can be said to be the amount paid in provision of services or products. Most of the foreign consumers can be argued to be price sensitive due to the fact that they come from developing countries which are usually not at par with the economy of Europe. In addition, the consumers usually have an idea of how much they are expected to pay. An online company would obviously charge for much less while compared to physical a physical company. This increase in prices indicates the nature of the industry and also illustrates how the competition plays a big role in prices. For a new institute, the price level needs to be somewhere in between the highs and lows because those charging high are already established brands and those charging low might be perceived as low quality or not recognized on a bigger scale. Product budget Product Development and Testing       Hire expertise to develop product        $1030 Prototype development costs:          $200 Labor        $130 Materials        $560 Special Purpose Equipment        $450 Miscellaneous          $120 Fees for lab testing            $300 Field Trial costs            $200 Patent Application Fees          $130 Additional marketing research activity fees        $110 Development of technical manuals        $120 Development of User training manuals        $50 Packaging Design            $10 Update business plan            $10 Other related costs:            $45                 3485 Promotion The Marketing department should budget a lot of money for a well-coordinated sales promotion strategy that will be aimed at increasing the volume of sales of the chips In order to ensure that the promotion strategies adopted are effective, the new institute should outsource all the promotion responsibilities to an established marketing agency that will work together with the institutes marketing department to ensure that all the aims and objective of the promotion strategies have been achieved (Kotler and Keller, 2009). Based on the value that company will be provided to the customers, the company needs to define the advertising objective with the kind of appeal and framework to be used in the campaigns. The media vehicles also need to be decided such as above the line and below the line channels, and the media schedule. For instance, if the company advert appears in a marketing magazine, the company needs to clearly address the placement of the advert in the paper and the days the advert would appear in the magazines. Social media is a great place to start off with Facebook, Twitter and MySpace all excellent platforms to engage prospective consumers in understanding the products developed the company in order to improve the revenue collection for the Trust which is the main focus of the company (Baker, 2011). Social media marketing is vital in the promotion of collectables in the process leading to improved sales of the collectables. In addition,the use of online payment platforms is vital because it will encourage the faster purchases and encourage penetration of the market. Place The company will not have any distribution channels or exhibition center but will use the online platforms with the only outlet being the manufacturing center. The main partner in the process is the Amazon.com. Amazon has often looked at as an example of a successful form of e-business. The company’s success is based on the integration of the supply chain by combining the role of wholesalers and retailers. It then acts as a single online intermediary between consumers and publishers. This model allows for easy purchasing, a wide selection and fast delivery. Also, this model leads to sustainable economies of scale which enables Amazon it to achieve a price advantage over many conventional booksellers. As such, Amazon is a cybermediary merchant carrying out informational, transactional and logistical roles all at one. One of the most influential reasons for Amazon’s success is its creation of a brand name. Although the personification of its products would be best achieved by reducing its portfolio, Amazon’s software enables it to achieve a higher degree of customization of its service. The deal will involve a 5% commission for the company for any item sold via its platform. The percentage must be agreed upon by both companies. Implementation The operational strategy of a company influences the product price, efficiency and volume of the production. Compared to marketing strategy, operation strategy deals with five issues that affect production and in turn affect the quality and quantity of the product. Efficiency is a factor sought by many companies in order to reduce raw material consumption while lowering the amount of time used to produce a product. Efficiency in operations involves the use of new technology and skills that would accelerate the production minimize cost and ensure product availability. For example, an operation strategy in a sugar company will change the production cycle to include ethanol and fiber board production. Such change in production will reduce the volume of waste generated while increasing the volume of the product. However, such changes come with the need for further investment in technology. In spite of the differences, it is important to state that operation strategy covers five main aspects in the production cycle. These five factors include speed, effectiveness, cost, dependability, quality and flexibility. These factors are vital in production because they affect the price and quality of the final product. With such importance, these factors must be evaluated and be addressed by the operation strategy. The operational strategy forms the core of the production unit because it evaluates the usefulness and effectiveness of the production cycle and thus influences the steps and process involved in production. The four phases of the strategic role are internally neutral, externally neutral, internally supportive, and externally supportive. The four strategic roles of operations are the core issues that influence the cost of production and the ability to influence the marketing strategy. The marketing strategy of any organization will depend on the product quality and volume produced as such it is influenced by operation strategy. Growth The development of new products and design requires patenting and protection to ensure that value can be obtained from new innovation. The failure to patent or protects it may not only lead to loss but also discourage innovation. The small Gift Company is in ransom because of the minimal capital outlay. Patenting and intellectual property protection are expensive to undertake especially in where the two applications must be made. For the small gift company, it must protect the new product and also protect the design as an intellectual property. The success of the whole process depends on the fast obtaining of patent and intellectual rights before any deal can be struck. The usage of recycled fibers is both environmental advantage and product advantage (Jiang, Xiao, Qi, and Xiao, 2009). However, the company needs to develop a trademark for the recycled product and connect with the society in the process of developing the brand. The financial limitation of the company restricts its operation because it cannot manufacture the innovated product, but requires other established manufacturing companies to engage in the production of the new product. The partnership with Canal Trust must be documented, and the agreement document be clearly drafted including the stipulation of the patent and intellectual property rights. The food industry is dynamic such that the protection of the trademark is vital in the development of the new product and patterns. The success of the pattern will depend on the ability to own it and market it in as a unique product or brand. The creation of brand may not be successful if the marketing and promotion strategy is not properly planned. Uniqueness of the product The perfume to be produced by Novelty Company is different from the already existing in the market such as the focus of the marketing strategy would be on the uniqueness of the product compared to the already existing products. The first focus of the product will be on the composition. It is composed on natural products as opposed to the known artificial product used as such making it a very different product in the market. The uniqueness of the product is both a plus and constrain in the marketing process due to the need for market penetration. Consumer tend to look at products that seem to relate to the one he consumes as such new products with unique touch have a challenge in the influencing of the consumers to use the product, which is the main issue facing the Gifts by Novelty Company. For success to be achieved, with such products, penetration marketing and promotions should be encouraged by the marketing department to facilitate trials of the new product thus obtaining consumer feedback thus encouraging the development of new approaches in the product development. Exit strategy The duration of the program is estimated to be five years with the fifth year being the exit year. The exit strategy for the company is to change the approach and reduce the production levels while selling all the other non-strategic investment with the final items being liquidated at the end of the year in a public auction. The success of the exit strategy will depend on the nature of the machines which are employed in the production process. The exit strategy is simple because the company focuses on the growth of Conclusion The commercialization process involves several steps that must be addressed in order to achieve success. These steps include; invention disclosure and assessment disclosure. Upon receiving the invention, the review offers insight on whether the protection of intellectual property is necessary. The commercialization of the product is complex based on various issues that affect the company. First, the company cannot produce the product with its own so requires other companies in the ventures. In such a situation, the company must be able to convince the other company of the beauty and ease to work with them. They must illustrate the profitability of the venture by highlighting the market potential of the new venture. The other problem is the intellectual property protection which the company must take before starting the partnerships (Crawford, 2000, p. 212). For the new designs, the company must patent them and look for the fund to kick start the production of the uniquely stitched handbags. The commercialization process involves several phases of development, which can be addressed in a different sector. Market segmentation is the process of dividing the market using a certain way in order to target a certain set of buyers or consumers. In the past, most companies employed mass marketing with the exception of the motor vehicle industry which initially targeted the rich, but later covered the middle class and the current trend are to incorporate the low end earners (Sandhusen, 2000, p. 34). The success of the innovation is pegged on the ability to obtain intellectual property rights and developed working partnerships with both the suppliers and customers. The success of the whole process will depend on the contacts reached as well as the development of a positive relationship between the firms. The Gift industry in the UK is dynamic and should be handled in the same way to ensure success of the whole process. In conclusion, the development of a new product and design is a complex process that requires absolute preparation and research. Bibliography Armstrong, S., Cools, E., and Sadler-Smith, E. (2011). The role of cognitive styles in business and management: reviewing 40 years of research. International Journal of Management reviews, 1-25. Baker, C. (2011). Foundations of Bilingual Education and Bilingualism. New York: Multilingual Matters. Cacioppe, R. (2000). Creating a spirit at work: re-visioning organization development and leadership – Part II. Leadership and Organization Development Journal, 110-119. Cooper, R. (2008). Perspective : the Stage-Gate® idea-to-launch process -update, whats new and nexgen systems,. Journal of Product Innovation Management, , 213-232. Crawford, M. (2000). Marketing Research and the New Product failure Rate. Journal of Marketing, 51-78. Gitman, L. J., Juchau, R., and Flanagan, J. (2004). Principles of Managerial Finance. Melbourne: Pearson Education Australia. Jiang, Z., Xiao, Q., Qi, H., and Xiao, L. (2009). Total Reward Strategy: A Human Resources Management Strategy Going with the Trend of the Times. International Journal of Business and Management, 175-180. Mauzy, J. (2006). Managing personal creativity, Design Management. Harvard Business Review, 67-72. Reynolds, J. (2004). The complete E-Commerce Book Design, Build and Maintain a successful Web-based Business. Michigan: Focal press. Saget, A. (2006). The Event Marketing Handbook: Beyond Logistics and Planning. Berlin: Kaplan Publishing. Sandhusen, R. (2000). Marketing. New York: Barrons Educational series. Read More