Technology Push and Market Pull

While attending the lecture on new venture financing, the point which garbed my attention was the difference between technology push and market pull. the basic point during the discussion was that it is easier to get the venture financing if the product which is being developed is on the basis of market pull (customer demand)while the life cycle of the technology pushed products is short lived and sometimes it is very difficult even to get financing for such products.

So what is the basic difference between these two types of products. According to SAP market pull is described as
•Envisioning what the customer wants
•Create awareness
•Create demand for customers
•Define appropriate pricing strategy by direct product placement
•Seeking customer knowledge
•Applying customer knowledge
•Reaching for larger customer basis
•Listening to the others
⇒"Seeking customer acceptance"

Market Pull (Source:Companies: Corporate Research Units as Pull Facilitators Barbara Flügge, Till Janner and Christoph Schroth, SAP AG /RESEARCH Lab, St Gallen)

The Technology push products are described as following by SAP

•Envisioning the product

•Invent technology itself

•Create how-to-manufacture scenario

•Define feature driven products

•Create appropriate manufacturing facilities

⇒Stage of product offering and to-be-standards

The figure provided by the SAP for such a product is as under:

Technology Push(Source:Companies: Corporate Research Units as Pull Facilitators Barbara Flügge, Till Janner and Christoph Schroth, SAP AG /RESEARCH Lab, St Gallen)