Product Development
The next stage is Product Development. In this stage, the R&D or engineering department converts a product concept into a physical product. This step involves a huge jump in investment as it shows whether or not the product idea can be turned into a workable product. The R&D Department tries to design a prototype to satisfy customer needs and excite them in buying the product, and can also be produced quickly and within budget. For this, the department runs tests on one or more physical versions of the product concept. Development of a successful prototype may take time (days, weeks, months, or even years). The companies can do product testing on their own or can outsource testing from a third party/firm which specialises in testing. For instance, a tech business might create test versions of a new smartwatch, evaluate how well it works, and then make design changes that can satisfy the customer’s needs.