New Product Development Effectiveness: A Pathway to Sustainable Competitive Advantage

New Product Development - NDP is a major source of competitive advantage to companies. Decades of quality research lead to substantial developments. Time-to-market was substantially reduced. The elimination of non-valueadding activities and a controlled, almost error-free flow from idea to launch resulted in substantial reduction of NPD expenditures yet improvements in project quality. Considering how increasingly challenging it is to launch successful products in the market, the question becomes is that enough? This study aims at discussing the idea of a greater emphasis on creativity may lead to a more effective NPD process. A more effective NPD process will in turn generate development of outstanding products; consequently increase revenues, profitability, brand value, stock performance and ultimately sustainable competitive advantages. In terms of organization, firstly this study will contain a literature review about pertinent NPD. Secondly, a conceptual model of NPD enabling both creativity and efficiency, consequently NPD effectiveness will be proposed. Finally, conclusions, limitations, and opportunities for future research will be discussed.