Final answer:
Product improvements, modifications, and original products are classified as new products, and they are an integral part of a company's product strategies to differentiate itself from competitors and innovate in the market.
Step-by-step explanation:
Product improvements, product modifications, and original products can all be classified as new products. These types of innovations represent different approaches a company may employ as part of their product strategies to remain competitive in the market. Innovation is essential for creating and updating the offerings that a firm brings to consumers. Companies often innovate by introducing original products entirely new to the market, or by improving and modifying existing products, making them better meet consumer needs or reach new audiences.
Differentiated products are crucial in a competitive environment. Firms differentiate their products through changes to the physical product, where it is sold, intangible aspects, or managing consumer perceptions. These differentiated products help a company to stand out from its competitors and can often lead to stronger brand loyalty and increased market share.