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Management article
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Reference no. 88511
Published by: Harvard Business Publishing
Published in: "Harvard Business Review", 1988

Abstract

Technology has combined with a fragmented culture to create an array of products, services, and markets. It is a world of variety and options, niches and small batches, increased competition and changing company structure. Because niche markets cannot be identified easily in their infancy, managers must keep one foot in the technology to know its potential and one foot in the market to see the opportunity. The product isn''t just the item itself--the product is an experience the customer learns to trust--which is why everything from perfume to software samples come inside magazines. Old, established giants and small start-ups need each other--the future is in relationships that create new products tailored to customers'' demands.

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Abstract

Technology has combined with a fragmented culture to create an array of products, services, and markets. It is a world of variety and options, niches and small batches, increased competition and changing company structure. Because niche markets cannot be identified easily in their infancy, managers must keep one foot in the technology to know its potential and one foot in the market to see the opportunity. The product isn''t just the item itself--the product is an experience the customer learns to trust--which is why everything from perfume to software samples come inside magazines. Old, established giants and small start-ups need each other--the future is in relationships that create new products tailored to customers'' demands.

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