Emerging New Product Development

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New competitive pressures are unsettling traditional carmakers. These include: new consumer groups in emerging markets; zero emission requirements; new competitors from emerging markets; and increasing dependency on suppliers. These pressures require carmakers to react more rapidly while designing new vehicles. New product development is the core process used to develop synergy between customer requirements and the objectives of the carmakers to produce successful automobiles. This has served carmakers well during an era of relatively stable competition with easily recognizable technologies and competitors. In a new area, where technologies are changing rapidly and new competition is emerging, there is a need for a new approach to new product development. A review of existing innovation patterns of both traditional and emerging carmakers has led to the development of an emerging methodology that consists of concept, design and validation phases. A case study based approach focusing on Chinese and German carmakers shows their distinct strategies. The emerging new product development methodology allows carmakers to better cope with changing requirements in the industry.

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