Consulting Services | Product and Marketing Analysis and Assessments
Scientists put a lot of weight on the concept of "initial conditions". The concept of initial conditions can provide a defined set of fixed and variable factors shaping the evolution or growth of an environment, a planet or a being. It is not a great leap to apply the same thought process to business formation, product marketing, and market correction or product adaptation. The initial conditions play significant roles in all of these cases. Usually, these initial conditions determine the path of growth, success or failure of a product or company. Ignoring these conditions will, almost without fail, lead to difficult times for the product or company. It is essential to fully discover and understand these conditions because they provide the scope of flexibility, necessary to adapt to newly evolving and changing conditions. It is essential to understand the initial conditions give some insight into what may have been overlooked or forgotten along the history of the company or product.
Critical Initial Conditions for Business FormationThe critical initial conditions from business formation or product marketing perspectives include:
1. Company, product or service in relation to its transformational potential across time.
2. Dependencies on external resources, technology or funding.
3. External economic environment including global factors,
4. Competition from like companies similar technologies, substitute or altogether different technologies.
5. Internal causes, which create deep, pressure on internal switching of funds thus choking the availability of funds for a specific product.
One of the most frequently underutilized tools is common the business model, which should answer the question "How is the product going to make money on a sustained basis?" The answer is not as simple as "Where does the volume reach the break-even point?" or "How many representatives do we need to field in order to flood the market? "Often the business model is simple a pro forma financial spreadsheet that rolls out over a product life to demonstrate return on the money invested. The business model should include more abstract questions of critical mass, the duration of the sustained period of implementation, the ability to absorb and transform the information and intelligence necessary to sell and grow the product, and the proprietary nature of the product. The real intellectual property of a company or product must be measured both in terms of its uniqueness and in terms of the ability of a competitor to field a similar and patent-safe product.
The abstractions are required to force a business model to reflect the initial conditions and their effects over time. The way to discover and harness ºthese abstractions is a simple ÒÓ tool kit. The different frames of reference for the initial conditions for a company could include:
- Product management
- Engineering/development perspective
- Marketing
- Internal Support
- Sales Channels
- Direct Sales
- Support Infrastructure
- External Market
- Competitors
- Economic Conditions
- Technology Forecast
Initial conditions must consider all relevant perspectives at once. A product developer should be thinking not only "how easy is the product for the end customer" but also "how easy is it for others to sell, deliver and support the product."
MarketGenesys understands the concept of initial conditions and applies it as a context. The frames of reference serve as a filter or screening mechanism to evaluate the path of a new company or product. The business model reflects the financial realities of the hidden conditions. The same concepts apply to a current product in need of corrective or adaptive action.
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