ABSTRACT
This chapter presents a case study which was concerned with the introduction of a new product into an established international market for technical products, which was expected to decline in the future. The product was the result of intensive research and development by the Surgical Instrument Company, intended to enable the company to enter a market which, at the time, was blocked by competitors' patents. The Surgical Instrument Company's customers merely required a product that would do the job adequately, and cheaply, so they were not attracted by marginal advantages. The market for disposable surgical instruments developed when it was realized that the cost of carrying out careful sterilization of instruments each time they were used in the hospital was considerable. The Surgical Instrument Company had been involved in the manufacture of surgical instruments. The Surgical Instrument Company fully realized that there was tremendous market potential for the disposable scalpel.
