Although cross-functional integration is often considered an important element in a successful new product development program, a great deal of variance exists in extant literature regarding how integration is defined and implemented and how relevant studies are conducted. The authors attempt to bring clarity to a diverse set of 25 studies that investigate cross-functional integration by empirically analyzing 146 correlations between integration and aspects of new product success. The authors examine the impact of 12 potential moderators that affect the integration–success link using meta-analysis techniques. The findings indicate that though cross-functional integration may indeed have a direct impact on success, the combination of integration with other variables may be of greater importance. Furthermore, because most of the nine variables that significantly affect the integration–success relationship are either managerially controlled or industry specific, the findings imply that firms should design cross-functional structures to maximize their effectiveness. Other variables that affect the integration–success relationship reflect researchers’ methodological decisions, suggesting that care should be taken when designing and interpreting the results of such studies. The authors discuss the implications of these findings and directions for further research.
The field of product innovation has expanded rapidly and clear insights regarding the relationship between product innovativeness and new product performance have become more elusive and difficult to discern through qualitative reviews of the literature. To offer much needed clarity, the authors conducted a meta-analysis of 95 correlations on product innovativeness and new product performance that were recorded from 32 studies on the topic. The findings reveal that although the average correlation of 0.24 for innovativeness with performance is small to moderate in size, the relationship is more substantial when various measurement and contextual elements are considered. For example, innovativeness measures that include a meaningfulness dimension yield stronger estimates of relationship strength. The findings also reveal that innovativeness today may not represent the same competitive advantage as in previous years unless the focus is on products rather than services, and specifically, new-to-the-market rather than new-to-the-firm products. Thus, innovativeness can be particularly relevant to new product success but only under certain conditions.
Although product innovation is widely recognized as crucial to the success of organizations, the literature still contains certain gaps that limit our understanding of successful product innovation. These gaps include a lack or research employing a decompositional approach (i.e., analysis of the drivers at each stage of the process) to studying product innovation and a related lack of research investigating the effect of organizational characteristics on specific stages of the product innovation process. The authors attempt to close these gaps by developing and testing a model examining the moderating effects of organizational characteristics on the relationship between the amount of market information gathered and the number of new product ideas generated by work groups in organizations. The study findings provide insights into the types of organizational structure and climate characteristics that can have an impact on the relationship between amount of market information and new product idea generation.
One stream of research for order of entry effects focuses on the possibility that the order of entry exerts a direct impact on business performance. A second stream of research, the contingency perspective, debates the merits of whether the order of entry, in combination with other market strategy and marketplace variables, is what actually drives business performance. The findings from studies focusing on possible direct effects offer only mixed evidence in favor of a pioneering advantage. The contingency perspective, however, has not been subjected to systematic, empirical scrutiny. Against this backdrop, the authors conduct a meta-analysis of the pioneering-market share findings and an examination of the contingency perspective of order of entry effects. The findings from the meta-analysis reveal that, on average, earlier entry is associated with greater market share. The findings from the contingency analysis, however, offer evidence suggesting that the contingency perspective is the more valid perspective for capturing the association between order of entry and market share. The authors discuss the theoretical and managerial implications of their findings and several directions for further research.
Although slotting fees and introductory allowances have become well established in the grocery and other industries, they remain a source of controversy among channel members. Retailers claim that these fees and allowances help mitigate the risks associated with new-product acceptance. Manufacturers counter that retailers are abusing slotting fees and allowances by using them as a source of profit. The authors investigate this controversy by empirically examining the role of slotting fees and allowances in the retail buyers’product acceptance decision process. Results provide evidence to suggest that introductory allowances are indeed being used by retailers in the sample to offset perceived risks and costs of carrying new products. However, findings regarding slotting fees are much less supportive of retailers’claims.
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