New product development in the Thai food industry
Prisana Suwannaporn
Kasetsart University and Asian Institute of Technology, Bangkok, Thailand
Mark Speece
Kasetsart University and Asian Institute of Technology, Bangkok, Thailand
PP: 11
Abstract
Changes in food consumption patterns and the growth of international megabrands have put pressure on the Thai food industry, especially in new product development (NPD). This paper, based on research on the food industry in Thailand, shows that industry in Thailand has relatively low R&D intensity, generally competing more through marketing activities than through innovative NPD. The article describes the industry’s approach to NPD, suggesting that innovation is often sourced from mergers and acquisitions and multinationals for products and from suppliers for processes. The paper recommends some strategic and organizational changes the industry may need to consider if it is to compete for global food markets.
"One company claimed that the popularity of Western media, trade liberalization, and changes in marketing channels have made it imperative to undertake more frequent NPD."
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