Final answer:
Product development is exemplified by the introduction of Nissan Leaf as a new product in the automotive market, focusing on innovation to achieve competitive advantage and profits.
Step-by-step explanation:
The concept of product development refers to a growth strategy involving the introduction of new products into the existing market. An excellent example of this is the Nissan Leaf, which represents innovation within the automotive sector, specifically in the electric vehicle niche. By producing the Nissan Leaf, Nissan is targeting the existing auto market with a fresh product that caters to growing consumer demand for environmentally friendly and energy-efficient vehicles.
Companies like Nissan understand the importance of innovation as a tool for staying ahead of the competition. As the CEO of Samsung highlighted, the relentless pursuit of new innovation is central to achieving a competitive edge and can lead to above-normal profits. Similarly, Toyota's dominance and expansion into new markets underscore the significance of development and the ability to adapt to global economic changes.