Bpp learning Media is an acca approved Content Provider

Product research
is based on creating new products and developing existing ones; in other words, 
the organisation's 'offer' to the market. 

Process research 
is based on improving the way in which those products or services are made 
or delivered, or the efficiency with which they are made or delivered. 
 EXAM FOCUS POINT 
Cultural influences provide a good source of potential exam questions.
BPP Tutor Toolkit Copy

---

PART B: BUSINESS ORGANISATION STRUCTURE, FUNCTIONS AND GOVERNANCE 
 
148
 
Product research – new product development
The new product development process must be carefully controlled; new products are a major source of 
competitive advantage but can cost a great deal of money to bring to market. A screening process is 
necessary to ensure that resources are concentrated on projects with a high probability of success. 
Process research 
Process research involves attention to how the goods/services are produced. Process research has these 
aspects. 
(a) 
Processes
. These
 
are crucial in service industries (eg fast food), as part of the services sold. 
(b) 
Productivity
. Efficient processes save money and time. 
(c) 
Planning
. If you know how long certain stages in a project are likely to take, you can plan the 
most efficient sequence. 
(d) 
Quality management
. Performed effectively, this leads to enhanced quality. 
R&D should be closely co-ordinated with marketing 
(a) 
Customer needs, as identified by marketers, should be a vital input to new product 
developments. 
(b) 
The R&D department might identify possible changes to product specifications so that a variety of 
marketing mixes can be tried out and screened. 
1.2 Purchasing 
Purchasing
makes a major contribution to cost and quality management in any business and in retail is 
a vital element of strategy. The purchasing mix is: 

Quantity 

Quality 

Price 

Delivery