Role of customer knowledge in developing new products and services

It has been proven by various scholars that knowledge is an essential source for businesses to achieve competitive advantage. Sustainable growth and innovation, which guarantee a business acceptable performance and survival in an aggressively competitive market is achievable by appropriate utilization of knowledge. In today´s business environment, it is of vital importance for companies to have knowledge from, for and about their customers in order to maintain their competitive position by continuously introducing new products and services. Therefore, the purpose of this study is to analyze the effect of customer knowledge on developing new product and services.