ABSTRACT

The simple decision criterion is that the revenues should cover all the costs and result in an acceptable overall margin. Concentrating exclusively on the new idea blinds decision makers from the indirect impacts and can lead to disappointing the financial results overall. Launching new products could easily impact the sales of products, for good or ill. Concentrating exclusively on the new idea blinds decision makers from these indirect impacts and can lead to disappointing financial results overall. Ambiguity regarding the cause of an outcome is likely because, while the sales of the new products could be fine, overall sales might be depressed by the change. When many opportunities result overall in some small improvement and also overload management attention, then a stream of insignificant ideas might prevent management from dealing with a few ideas that could yield much bigger impact globally.