Module 3: Identifying Opportunities

and Crafting Strategies

Product Management Career Accelerator Program
Product Development Lifecycle
Ship and learn
1. How do we get to market?
Identify 2. What have we learnt from the launch?
3. Have we reached success?
1. What user problem are we solving? 05
2. Is it the right problem to solve for
the company?
3. Is it worth solving this problem?

01 04
Build
1. What does it take to unblock the
stakeholders to build?
Align 2. What are the tradeoffs to be made?

1. How will you convince the leadership?

2. Which other teams should be involved? 02 03
3. Why should they care about this
problem?
Define
1. What does it look like when the
problem is solved?
2. Which features do you need to build?
Product Development Lifecycle
Ship and learn
1. How do we get to market?
Identify 2. What have we learnt from the launch?
3. Have we reached success?
1. What user problem are we solving? 05
2. Is it the right problem to solve for
the company?
3. Is it worth solving this problem?

01 04
Build
Agile
1. What does it take to unblock the
stakeholders to build?
Align 2. What are the tradeoffs to be made?

1. How will you convince the leadership?

2. Which other teams should be involved? 02 03
3. Why should they care about this
problem?
Define
1. What does it look like when the
problem is solved?
2. Which features do you need to build?
 Product Development Lifecycle - 0 to 1

Identify market and

strategy
1. What industry will we operate in?
2. What will be our product strategy?
3. How will we compete?

Ship and learn

00
1. How do we get to market?
2. What have we learnt from the launch?
3. Have we reached success?
05
Identify user problem
1. What user problem are we solving?
2. Is it the right problem to solve for
the company? 01
01 04
3. Is it worth solving this problem?
Industry
● Industry is a group of companies that produce similar goods or services
○ Technology, Manufacturing, Healthcare, etc.
● An industry can be defined loosely depending on the criteria to group the
goods and services
○ Manufacturing: FMCG, Automobile, F&B, etc.
○ Technology: IT services, Cloud, Cybersecurity, etc.
● PMs usually operate in industries which are technology powered
○ Fintech, edtech, healthtech, etc.
○ Social media, marketplaces, gaming, streaming, etc.
● Understand the industry you operate in and its dynamics
Market
● Market is a place where buyers and sellers come together
○ It could be physical (mall) or virtual (app store)
○ Markets today are pervasive and therefore indicate the customers you
have access to
○ Markets can be represented in terms of revenue, or number of
customers
● Market and industry are often used interchangeably but their definitions are
very different
○ Market represents the customers whereas industry represents the
companies
○ There could be multiple industries operating in a market
Analyzing the industry - Porter’s 5 Forces

Threat of new entrants Bargaining power of buyers

1. Economies of scale 1. Number of customers
2. Brand loyalty 2. Size of each customer order
3. Capital requirements 3. Price sensitivity
4. Regulated space 4. Switching costs
5. Access to distribution channels Rivalry among
6. Network effects
7. Ecosystem barriers
existing
competitors
1. Number and size of
competitors
2. Prevalence of anti
competitive practices

Bargaining power of suppliers Threat of substitutes

1. Number and size of suppliers 1. Number of substitute products available
2. Uniqueness of supplier’s product 2. Buyer propensity to substitute
3. Threat of vertical integration 3. Uniqueness of substitutes
4. Relative price performance of substitutes
5. Disruptability
Porter’s 5 Forces application - OTT industry

Threat of new entrants Bargaining power of buyers

Threat of new entrants is medium. It is Bargaining power of buyers is high. Consumers are
easy to set up streaming platforms today extremely price sensitive and is not uncommon for
using simple cloud applications. However, them to subscribe to multiple OTT providers at the
this place is still regulated and network same time.
effects are high. Rivalry among
existing
competitors
Rivalry among existing
competitors is high. Deep
discounting to acquire
customers is common.

Bargaining power of suppliers Threat of substitutes

Bargaining power of suppliers is high. The Threat of substitutes is medium. While
success of an OTT platform highly depends consumers are unlikely to go back to cable TV,
upon the quality and quantity of the content the OTT space enjoyed huge adoption during the
library. While there are many content pandemic that is unlikely to continue as
providers, getting into a bidding war for quality consumers have substitutes outside (movies,
content is common in this industry. dining, etc).
 Analyzing the industry - PESTEL analysis

Political Economic Social Technological Environmental Legal

Policies Growth Population Innovation Climate change Antitrust

Stability Inflation Lifestyle Disruption Ethical Labor laws
Corruption Interest rates Culture Data protection
Employment
 PESTEL analysis application - OTT industry

Political Economic Social Technological Environmental Legal

Governments Increased Creation and Penetration of 5G No direct impact Procuring

want to have a consumer distribution of and mobile of environmental certification for
say in what spending is content in local devices is factors content acts as a
content can be helping grow the languages is growing the hindrance
shown harming industry helping grow the industry
the industry industry
Analyzing the company - SWOT

Strengths Weaknesses Opportunities Threats

What do we do well? What don’t we do well? What opportunities can What are the risks?
we grab?
SWOT analysis application - Disney+ Hotstar

Strengths Weaknesses Opportunities Threats

1. Own huge content 1. The streaming 1. Well placed to 1. Competition from

houses like Marvel, Pixar, platform is still not the diversify more into global and local players
Walt Disney, etc. best in the business and regional content is stiff.
2. Have a well tested user complaints of 2. Withdrawal of the
streaming platform that crashes and buffering pandemic can take away
withstands high are still high. customers.
concurrent usage.
Picking an industry

Favourable
industry

Alignment

Strong Large
company market
Assignment
Pick an industry that you think will be highly relevant in the near future. Explain
why you think so. Perform the Porter’s 5 forces and PESTEL analysis for the
industry. Also identify what will it take for a company to be successful in this
industry.

Some examples of industries you could consider are crypto, AR/VR, autonomous
driving, bike taxi, etc.
Glossary
● PDLC: The product development lifecycle is a series of stages that a product goes through from conception to retirement. The stages typically include: concept
and strategy, research and development, testing and validation, and launch and retirement. The specific stages and their names can vary depending on the
organization or industry, but the basic process of taking a product from idea to market is generally consistent.

● Agile development: Agile development is a method of software development that prioritizes flexibility and collaboration. The Agile approach is centered around
the Agile Manifesto, a set of values and principles that guide the development process. The Agile method emphasizes iterative and incremental delivery, with a
focus on rapid prototyping and continuous improvement. Agile teams are self-organizing and cross-functional, and prioritize flexibility and the ability to adapt to
change over strict planning and adherence to a specific plan.

● Waterfall development: Waterfall development is a traditional, linear model of software development in which progress flows in a one-directional downward
sequence. The Waterfall model consists of several distinct phases, each of which must be completed before the next phase can begin. These phases include
Requirements, Design, Implementation, Verification, and Maintenance.

● 0 to 1 building: "0 to 1 product building" refers to the process of creating a new product or service from scratch, as opposed to improving or iterating on an
existing one. It involves taking an idea or concept and turning it into a fully-functioning product or service that solves a specific problem or fills a specific need.

● 1 to 10 building: "1 to 10 product building" refers to the process of scaling and growing an existing product or service, as opposed to creating a new one from
scratch. It involves taking an existing product or service that has already been validated in the market, and expanding its reach, customer base, and revenue.

● Industry: An industry is a collection of companies that offer similar or substitute products to the customers and compete with one another.

● Market: Market refers to a mechanism that helps buyers and sellers in entering into transactions relating to exchange of goods and services.

● Economies of scale: Economies of scale refer to the cost advantages that a business can achieve by increasing production. As a company produces more and
more units of a good or service, the fixed costs (such as rent, equipment, and salaries) are spread over a larger number of units, resulting in lower per-unit costs.
Glossary
● Network effects: Network effects refer to the phenomenon where the value of a product or service increases as more people use it.

● Vertical integration: Vertical integration refers to the process by which a company expands its business operations by moving upstream or downstream in
the supply chain. Upstream integration refers to the process of a company acquiring or investing in suppliers or raw materials, while downstream integration
refers to the process of a company acquiring or investing in distributors, retailers or customers.

● Ecosystem barriers: Ecosystem barriers refer to the challenges and obstacles that a company may face in entering or competing within a particular
ecosystem. An ecosystem is a network of interconnected businesses, technologies, and other entities that work together to create value for customers and
users.

● Price sensitivity: Price sensitivity refers to the degree to which the demand for a product or service changes in response to changes in its price.

● Anti competitive practices: Anti-competitive practices refer to business practices or strategies that are designed to restrict competition in a market and
create a monopoly or an oligopoly.

● Buyer propensity: Buyer Propensity refers to the likelihood or probability that a customer will make a purchase or invest in a product or service.

● Headwinds and tailwinds: Headwinds and tailwinds are terms used to describe the external factors that can impact a company's performance. Headwinds
are factors that impede a company's progress and make it harder for the company to achieve its goals. These can include factors such as economic
downturns, intense competition, regulatory changes, and natural disasters. Tailwinds, on the other hand, are factors that provide a boost to a company's
performance and make it easier for the company to achieve its goals. These can include factors such as economic growth, favorable industry trends,
technological advancements, and government policies.

● NPS: Net Promoter Score (NPS) is a measure of customer satisfaction and loyalty. It is a metric that is used to gauge the likelihood that customers will
recommend a product or service to others.