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Product obsolescence is increasing as competitors bring concepts to market faster
Failures: AC Nielsen estimates that less than 10% of new products last more than 1 year in the market.
Development costs are increasing
$700 million on R&D for Gillette's Mach III razor
$200 million to develop Olestra by P&G
Lost data: Turnover and merger activity means that employees are not with the company from one product introduction to another
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