Market Study

Definition: The process of identifying the price range at which a quantified market segment is willing to purchase the product and justifying why the target market will choose the product over the competition's.

Objective: The objective of the feasibility step is to identify who will buy the product, how many units will they buy, and how much they will pay.

Product: The product of this step is a market study that follows the marketing section of a standard business outline format.

Marketing Activities: The marketing activities common to this step are those necessary to demonstrate that there is market justification for the product.

During the market study step the following activities must be completed:

• Describe the market environment

• Identify economic and industry trends

• Quantify the size of the market

• Identify the market segments

• Analyze market segment size, growth rate, competitive environment

• Analyze business capabilities for market share, competitive position, product capabilities, resource capabilities

Marketing Information: The completion of the marketing study step usually will result in a thorough understanding of the market environment, the market structure, the market potential for the product, a realistic expectation of market share, and the capabilities of the business enterprise to compete.

Assessment:

Have you conducted a market study?
Have you identified factors critical to the market environment?
Have you identified the economic and industry trends?
Have you quantified the market size?
Have you identified the market segments?
Have you identified the size, growth rate and competition of the market segment?
Have you analyzed business capability for market share, competitive position, product capabilities, and resource capabilities?

Return to The Goldsmith Commercialization Model

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