Strategic new product planning models for dynamic situations

Quantitative methods are being used increasingly to assist in the evaluation of new product strategies and numerous articles have appeared in the literature dealing with various aspects of this subject. This paper discusses the major considerations in the development of a comprehensive model that aids the decision maker in determining optimal strategies in a new product planning situation. It is suggested that the role of the management scientist should extend beyond the design of the model, e.g., in assisting in parameter estimation and specification of feasible strategies. Other considerations are the inclusion of transient state conditions in the model and the use of the model in both initial and subsequent decision making.