Firms today increasingly seek to leverage product platforms via derivative product versions of the base platform, but successfully doing so is a significant challenge. Numerous enablers are required, such as robust product development processes, effective and well trained organizations, R&D activities that are aligned to support product strategies, and a clearly defined corporate strategy. In derivative product development firms struggle to identify the optimum derivatives to develop and bring to market. Evaluating which feature to improve upon, which technologies to incorporate, which markets to pursue, and ultimately which derivative product to develop is an uncertain proposition that has significant implications to future profitability. There majority tools and processes that exist to provide guidance in these activities largely focus on platform development strategies and decisions. A limited number are known to apply specifically to derivative products, after the platform has been design and implemented. This work proposes a derivative product concept generation and selection framework that extends the design for variety methodology to analyze derivative product alternatives.
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