When launching a new product, what should companies predict to assess market attractiveness?

When launching a new product, predicting growth is essential for assessing market attractiveness. A company needs to evaluate whether the target market has potential for expansion, as this will significantly influence long-term profitability and sustainability. A strong growth forecast signals that consumers may have an increasing demand for the product, creating opportunities for the company to capture market share and achieve its sales objectives.

Furthermore, growth predictions help companies allocate resources effectively, plan marketing strategies, and set realistic goals for market entry. Understanding the growth potential of a market can attract investors and stakeholders who are interested in supporting initiatives with high return potential.

In contrast, while factors such as decline, stability, or competition are important in their own right, they don't necessarily provide the same optimistic outlook that growth does. Assessing these aspects might contribute to overall market analysis, but they are often secondary to understanding the overarching growth dynamics that can drive product success.