While many companies may be hesitant to launch new products during an economic downturn, research shows that doing so can be a successful marketing strategy for some types of products. Evidence from the automotive and fast-moving consumer goods sectors points to opportunities to capture market attention and willingness to buy, particularly late in a recession, when competitors have pulled back due to uncertainty. Economic cycles are a fact of life for managers: Despite government policies that seek to promote growth and stability, events ' such as the COVID-19 pandemic ' and other types of financial shocks can drive a country into recession. While there's a fair amount of advice for business leaders on managing during difficult times, the questions that have received little attention are whether to launch new products during a recession and, if so, when and which ones. We set out to investigate why it might be advisable for companies to launch products during a recession, what types...
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