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Research & Development Help Sheet

The R&D Department is responsible for creating, maintaining and revising the company’s products.

What type of product does the company sell?

Genetic testing devices. These are used to quickly test a person’s blood

to determine DNA sequencing and identify any potential diseases or

genetic problems.

What makes up a genetic testing device?

A product’s positioning specifications, which includes Speed (how fast)

and Accuracy (how precise), Service Life (how many hours the device

will work for), and Region Kits (a feature tailored to specific areas).

Who buys genetic testing devices?

The genetic testing devices the company creates are purchased by other businesses (hospitals,

clinics, universities, etc.). This is known as a Business to Business industry (B2B). Within the industry,

there are two different types of customer groups: Low Tech and High Tech.

How do I know how what my customers want?

Each customer group, or segment, prefers different things. Listen to your customers in the

Customer Buying Criteria section of your R&D page, or view their preferences in the Report.

These expectations vary across other countries, so be sure to look at the Customer Buying Criteria

for each area.

How many different markets (or countries) can I sell to?

Three: United States of America, Germany and China. Customers in each area will have different

ideas of what an ideal product is to them.

Can a product sell to multiple segments?

Absolutely. While a product can temporarily sell in two segments, eventually you should decide

which segment your product will primarily belong to, because preferences change in each segment.

Can a product sell to multiple countries?

Yes. You can sell in different regions, but remember, each region might have different requirements/

currency/criteria.

Does the criteria for each round change?

Yes; for Positioning and Price only. Customers demand faster and more accurate testing devices

each year, so adjust your product specifications to stay competitive.

USA Germany China

How do I increase or decrease the age of a product?

If you revise a product’s Speed or Accuracy, customers will perceive your product as an upgrade,

and the age will be cut in half. Revising Service Life or adding a Region Kit does not affect the

age of your product.

Quickly, summarize how to update my product(s).

1. Observe your current product(s) and compare it to what customers are seeking.

2. To do so, use the Perceptual map (upper right of the R&D interface), and the Customer Buying

Criteria chart (lower left of your R&D interface). The Perceptual Map shows you where your

products are in relation to the market segments. If your products are in the shaded areas your

products are desirable to those customers.

3. Adjust the Speed and Accuracy sliders based on where you want to position your product(s).

4. Adjust the Service life slider based upon the needs and desires of your customer. Higher

service life will raise the cost of the product, but can increase the demand for the product.

5. Determine if you want to add a Region Kit to any of the countries you sell your product to.

6. Observe the revision date (when your product will be updated) and the age of your product.

R&D updates should generally finish within the calendar year, unless you are creating a new

product or repositioning to a new customer segment.