Product development options analysis for Barco projectors BD700 BG700 BG8000

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With Sony coming out with the 1270 projector, with 75 kHz, Barco has the option of developing the BD700, an advancement from the BD600, the BG800, an advancement from the BG400, or using the ideas of BD700 as a springboard for the BG700. Because Barco can only develop one product, there are concerns. All projects have been put on hold, including the BD700. The engineers have already committed to a higher work load for the BD700, including giving up vacation days, and have been working on it from the summer months. Compression of development on the BD700 could have repercussions on the quality of the end product, which has the capability of being superior to the 1270. It is unknown when the 1270 would hit the market, the pricing of the 1270, or how customers would respond to the 1270. The BG800 has a 40% chance of making the Infocomm deadline. And, dealers already have orders for the BD700 on their books.

When business is face with disruptive technologies they must move toward the better products to survive. (Trout, 2005). Where dealers have already taken orders for the BD700, customers have already showed interest in the product. The BD700 project needs to be finished for the loyal customers. It is a mistake to ignore the perceptions in the minds of customers, which have already been shown with the BD700. And, with the BD700 having the capabilities to be superior to 1270, Barco already has a product for competition in the BD700 product. Success often leads to arrogance and arrogance to failure, if not careful.

Managers have to identify and access alternative ways their organization can use its strengths to capitalize on opportunities, or minimize threats, and invest in available opportunities to overcome any weaknesses. (Anon., n.d.). The key task is to generate strategic options that are well justified and choose the ones that will contribute to the achievement of the organizations strategic goals and objectives. If customers are powerful and substitutes are attractive, a high growth rate will not guarantee profitability. The 1270 may be a magnificent product, but it may not receive profitability if the BD700 proves to be a sufficient alternative. Another mistake in marketing is focusing too much on the short-term. This could cause a planning gap between planned and achieved objectives.

It is critical to recognize that management, the external environment, and the way management interacts with the external environment are crucial elements to a marketing strategy. This is the greatest threat to a strategic plan. Barco can focus on its own strengths against the weaknesses of Sony. The over-estimated organizational capabilities can be undermined by a misguided view of competition. Sony may have some powerful strengths, but what are their weaknesses? No matter how big a company gets, there are still weaknesses to be recognized. Barco needs to realize that with the BD700 already in process and orders that prove market awareness; they are already ahead of Sony's game.

"When adversaries scale, and even if they don't do it well, they'll likely become bureaucratic and make it easier to out maneuver them." (Davis, 2012). It may look like that Sony is about to drive everyone out of business, but are they really? Do they really have the better product? With Sony already known as a low price manufacturer, customers may not take well to the high price of 1270. Customers may be amazed at a product, but it doesn't necessarily mean they will buy it.

It is important to look at the company from a customer's perspective. (Allen, n.d.). What are the needs or problems that cause customers to buy the products? How can the company improve the customer's personal or business life? What motivations and values drive customers? What changes or trends are in the organization's customer base that affects their general interest or attraction? Barco may want to consider alternative ways to distribute or display products. (Anon., n.d.).

Demand is the key and speed and reliability offers a competitive advantage. (Sarkissan, n.d.). Where the BD700 is already in process, it would be quicker for Barco to deliver a new, innovative, product by finishing the project and delivering to customers who have already ordered. It is not wise for a company to build customer's hopes up and then drop them. This activity could leave unsatisfied customers who change their view about Barco. It could lead investors to believe that things are not right with the company, which in turn can lead to diminished capital availability. Not a good future sign.