ABSTRACT
This chapter outlines the critical emerging global financial metric of cash flows in the realities of new product/service marketing and success. It defines the positive and negative cash flow drivers for both products and services, operationally defining the cash flow dynamics for product/service bundles. Understanding and constantly revising the cash flow dynamics enables managers to predict more accurately where major gains and losses in cash flow can be made with changes to the product/service bundle. In looking at the major cash flow drivers for both product bundles and service bundles, an ideal product/service bundle scenario emerges. In pricing product/service bundles, one of the most difficult competitive choices is whether to bundle or unbundle individual product and service prices. In looking at the product/service bundle cash flow dynamics, it is clear that pricing is extremely complex, and can play a critical role for new product/service bundles, both on market entry and the strategy moves on over time.
