Developing a new product development model using system dynamic approach by emphasizing on Bass defusion theory

The main source of success in achieving competitive advantage for the future companies is the successful and continuous development of new and improved products. Identification of critical success factors in development of new products in the freamwork of business strategies has caused researchers to make many researches. This study aims to increase customers’ acquisition rate through the identification and prioritization of the key factors in development of new product. For this purpose the Bass diffusion theory is used with system dynamics approach and the grounded theory. Based on a literature review and interview with experts (experts from industry and academia) this research tried to identify critical success factors for successful development of the new products. Definition of the relationships among research variables through the interview with the experts has caused to explore the variables and definition of model’s dynamic hypothesis which considered as basis for mapping cause & effect and also stock & flow diagrams. Developing the equations related to the variables intractions and simulate them with Vensim, resulted in formulation of the research model. This model generate 4 different senarios. The results indicate that increasing the budget of R&D and Marketing simoultaneously can be more effective in customers’ attraction