The innovation process in consumer electronics

Date of publication: October 1, 1979


The innovation process in the consumer durables sector has a number of specific characteristics. This paper highlights a number of aspects of new product developments as far as consumer electronics are concerned. First, a number of general market aspects will be discussed, and the underlying industrial process will be briefly reviewed. Second, the innovation process will be related to the sales problems faced by existing products. Third, several aspects of new product development will be illustrated with the help of a practical example: VLP. This innovation was introduced in the U.S.A. at the end of 1978 as part of a test market operation. It is expected that in 2 years from now this medium of communication will also be launched in Europe. Finally the paper sets out how this innovation came into being and gives details about its further course of development, both from the technological and marketing angle, with emphasis on how things developed in practice.

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