A local technology firm is developing a new travel app that identifies antique shops and art galleries in the cities that you plan to visit. How can this tech firm reduce the risks involved in developing this new travel app?

One of the key elements in decreasing the risk of developing a new product is to listen to present and/or potential customers carefully. You need to ensure that potential customers need or want your product and can afford it. Your company should also fully commit to the new-product development process for the exercise to work correctly. Using market research, you need to understand current market trends and anticipate marketplace changes. In your research, you should ask the right questions that deal with demand, costs, quality, and other issues that are important to the customer. Also, failing should not be looked upon as totally negative, as firms can learn from these failures.