Existing novel products may help market players in gaining access to fresh markets that were unapproachable in the past. This paper focuses on the factors that need to be considered when launching a new product. .
1.1 Procedures and Policies.
Management should evaluate the efficiency of their novel product procedures and policies in order to ensure that the regulations meet certain criteria. First and foremost, the policies must ensure that management and stakeholders from different departments, including accounting, risk, line management, quality assurance and internal audit team work together to vet, evaluate and recommend the product for top management to approve. Secondly, the regulations must cover the investigative, approval and deployment phases of the product. Moreover, the guidelines ensure that there is a room for updating the operating procedures to offer clear guidance on how to adhere to the legal requirements. This state of affairs will ensure that the new product does not violate the law and hence undue exposure to the threat of legal liability is avoided (Hirschey 2009). Suitable polices addresses and mitigates risks throughout the commodity life cycle, including marketing, distribution, pricing, ongoing maintenance and accounting. The policies also ensure a post-decision evaluation to establish whether the product meets the assumptions and expectations applied to support the decision. .
Most firms operate in a broadly regulated sector, and effective management team must assess whether fresh product fully comply with the stipulated regulations and policies. The scope of permitted product may be restricted by the firm's chartering authority and can fluctuate depending on whether the operation is conducted in the firm, parent organization or a subsidiary of the parent firm (Berghoff, Scranton& Spiekermann 2012). Top leadership is encouraged to analyze the new item proposals with their regulator to establish whether notice or application may be necessary.