Factors Affecting New Product Development at Yahoo!

Slide 2
Background on the company/market
Yahoo! is a web service provider that is established in the year of 1995 by David Filo. Headquarter of this
company is located in California, USA. In the year of 1990s, Yahoo was the revolution the internet. In
the year of 2017, Verizon communication has acquired Yahoo. Along with this, the business does not
include the stakes at the Alibaba group as well as Yahoo Japan. It is presently headed through CEO
Marissa Mayer (Alexa, 2019).
Slide 3
Yahoo! facilitates the search engine and portal associated services. In current times, Yahoo facilitates
over 20 products and services like Yahoo entertainment, Yahoo mail, online mapping, Yahoo Answers,
Tumblr, Yahoo News, advertising, Flickr, and Yahoo Finance (Chris Wofford, 2013).
Slide 4
As per the web analytics facilitator SimilarWeb as well as, Alexa, Yahoo site has over 7 billion opinions
per month. It creates a wider range of news as well as media site. Though, it was primarily renowned for
search engine channel. It is presently considered as a media corporation. According to rating of Alexa,
Yahoo domain the websites and are ranked 8th internationally in the year of 2019,. Yahoo provides multi-
lingual boundary. This report analyses the new product development processes as well as practices. It
also recommends the strategy on the basis of analysis (Floren, Frishammar, Parida 2018).
Slide 5
Factors that are important for their NPD/NPDS
The stage demonstrates that new product strategy links the process of new product development with
the objectives of the company as well as directs the guidelines and idea generation. In this way, the
generation of the idea is seeking towards products that obey the objectives. Along with this, screening is
an initial assessment for determining which ideas can be pertinent in depth. The business assessment
further assesses the chosen ideas as per the return on investment, sales volume and profits. Under
development phase, ideas could be turned into a product that can be producible and demonstrable.
Along with this, developed products can be tested as well as it is based on the verification regarding
potential results and commercialized products (Gabrielle, 2014).
Slide 6
Firm-related factors:
Innovation experience, a culture of the firm, organizational structure, Research & Development (R&D)
unit/team as well as the strategy of a firm with respect to innovation is a primary factor in this section.
Project related factors:

A project can be complementary with the present resources and management style has an impact on
the viability of the technology in the context of innovative projects. Along with this, resources like sales,
research & development unit, market research competencies as well as, production services are
contributed to the compatibility of projects.
Product-related factors:
An effective innovation attains the need of customers on several characteristics at the same time. For
example, quality, the convenience of use, relative price, after sales cost as well as backward
compatibility. Eventually, the product quality is a key criterion for achievement (Gary, 2015).
Market-related factors:
There is different sub-factor that contributes toward market factor for effective innovation, timing to
market as well as awareness about the target market. There is synergy among research and
development as well as marketing strengths is also significant (Nadia, 2011).
Slide 7
There are different factor that may influence the effectiveness of the company in terms of innovation
and offering of a new product. There are some factors that play a vital role in the company. This section
facilitates the study on different factors that can impact on new product development at Yahoo!
In Yahoo! design development procedure is explained as given below:
It should use product development methodologies as well as tightly integrated development teams,
along with this, continuous prototyping with development and short design rehearsals. Similar business
techniques are required for relating the design practices to financial products in the context of project
team members and designers. The company can encourage consistency as well as avoids the repetition
across the products as well as teams via techniques and blueprint libraries (Gary, 2015).
Slide 8 How can they improve
According to the existing policy of CEO, open innovation should be considered for encouraging
the workforces to better creativity as well as innovation can be a least concerned strategy by
management. As one of ex-workforce Michelle Sollicito, there is lack of Yahoo’s innovation
because it never had higher CTO. For too long, they saw themselves as a media firm and not a
technology corporation (Gabrielle, 2014).
There is a need for clear direction in Yahoo. It can be considered as a strategic level and by a
top authority that is visionary as well as stubborn. Leadership that creates right calls as well as
emphasizes on what issues deliberately. According to CEO Mayer, open innovation is been
injected and it can be a major factor that aids in avoiding the struggle of the company. As Yahoo
has product knowledge team, dedicated R&D as well as stable management, the company
should practice the resources strategically by instructing to the right path as compared to