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Challenges of managing the development of breakthrough products in Japan
Author(s) -
Song X.Michael,
Parry Mark E
Publication year - 1999
Publication title -
journal of operations management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 3.649
H-Index - 191
eISSN - 1873-1317
pISSN - 0272-6963
DOI - 10.1016/s0272-6963(99)00019-4
Subject(s) - new product development , product (mathematics) , competitive advantage , contingency , business , product management , process management , marketing , industrial organization , computer science , mathematics , linguistics , philosophy , geometry
We propose a contingency model and hypothesize that increases in product innovativeness weaken the influence of product synergies and development proficiencies on product performance. We incorporate these hypotheses in a path model linking measures of product synergy, development proficiency, product competitive advantage, and product performance. We test the model using data from Japan on 412 high‐innovativeness projects and 375 low‐innovativeness projects. We find that product innovativeness weakens three key relationships that determine new product success: (i) the impact of technical synergy on technical proficiency, (ii) the impact of technical proficiency on product competitive advantage, and (iii) the impact of product competitive advantage on new product success.