New Product Development Strategies and Operational Performance of Commercial and Manufacturing State Corporations in Kenya

Abstract

New product development strategies refers to the deliberate tactics adopted by firms in order to ensure success of new products or services that compete favorably in the market. This study set out to establish the effects of new product development strategies and operational performance of commercial and manufacturing state corporations in Kenya. Four research objectives set were to: Establish the extent to which new product development strategies have been adopted by commercial and manufacturing state corporations; Establish how product innovation influences operational performance of commercial and manufacturing state corporations in Kenya; Establish how market research influences operational performance of commercial and manufacturing state corporations in Kenya; Establish how customer needs assessment influences operational performance of commercial and manufacturing state corporations in Kenya. The findings show that all the three variables under investigation are statistically significant and have a positive correlation with operational performance. The study recommend simplification of the decision making process in state corporations especially during new product development process.