The impact of institutional variables in new high-tech product development processes

Purpose - The purpose of this paper is first, to identify the institutional variables that influence the technology acquisition intent (TAI) in new high-tech product development (NPD) process; second, to identify and confirm the consequence of TAI in the Stage-Gate system of NPD process; and third,...

Full description

Saved in:
Bibliographic Details
Published in:Marketing intelligence & planning 2013-03, Vol.31 (2), p.160-178
Main Authors: Shekhar Mishra, Shashi, Saji, K.B
Format: Article
Language:English
Subjects:
Comparative analysis
High tech industries
Hypotheses
Marketing
Product development
Studies
Technology
Variables
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Purpose - The purpose of this paper is first, to identify the institutional variables that influence the technology acquisition intent (TAI) in new high-tech product development (NPD) process; second, to identify and confirm the consequence of TAI in the Stage-Gate system of NPD process; and third, to validate the moderating role of Perceived Risk and Project Duration on the "TAI to new product commercialization (NPC) relationship" in the NPD process.Design methodology approach - The research design for this generic study involved two phases: exploratory and descriptive. The theoretical framework emanated from the exploratory phase and is validated by conducting a global survey on 215 high-tech product marketing firms.Findings - The institutional variables - Dominant Design and Network Externalities - directly influence a firm's TAI that in turn leads to NPC. While the study confirms that the longer project duration negatively moderates to TAI to NPC relationship, no support was found for the influence of increased risk perception on the same.Practical implications - The study explains the rationale for marketer's efforts toward dominant design and network externalities. Also, the NPD teams should be cautious about project duration, as uncertainty associated with longer project duration reduces the TAI, and thereby inhibits the successful NPC.Originality value - By empirically investigating the influence of institutional variables on a firm's TAI, the study significantly contributes to extant theories on NPD. Also, the study results have significant implications for high-tech product marketing theory and practice in the context of emerging market economies.
ISSN:0263-4503
1758-8049
DOI:10.1108/02634501311312053