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Some Problems in using Diffusion Models for New Products

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  • Irwin Bernhardt

    (University of Waterloo)

  • Kenneth D. Mackenzie

    (University of Kansas and University of Waterloo)

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    Abstract

    This paper analyzes some of the problems involved in using diffusion models to formulate marketing strategies for introducing new products. Though future work in this area appears justified, there are many unresolved problems which limit application. First, there is no theory for adoption and diffusion processes. Such a theory is outlined in this paper. Secondly, the present models are too restrictive and do not include the variables that a marketing manager has at his disposal. Six models which remove some of the theoretical and methodological restrictions are therefore presented. The marketing implications of the assumptions in the models are discussed.

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    File URL: http://dx.doi.org/10.1287/mnsc.19.2.187
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    Bibliographic Info

    Article provided by INFORMS in its journal Management Science.

    Volume (Year): 19 (1972)
    Issue (Month): 2 (October)
    Pages: 187-200

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    Handle: RePEc:inm:ormnsc:v:19:y:1972:i:2:p:187-200

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    Cited by:
    1. Hsiao, James Po-Hsun & Jaw, Chyi & Huan, Tzung-Cheng, 2009. "Information diffusion and new product consumption: A bass model application to tourism facility management," Journal of Business Research, Elsevier, vol. 62(7), pages 690-697, July.
    2. Crompton, Paul, 2001. "The diffusion of new steelmaking technology," Resources Policy, Elsevier, vol. 27(2), pages 87-95, June.

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