Exploaration Of Improving New Financial Product Development Process In China By Stage-gate System

Faced by opening market, foreign fresh entrants, How to gain an edge has been a question for discussion. As everyone known that new financial product development is powerful arm to financial industry. The new financial product development process, however, is one of the key successful factors to the new financial product. The purpose of this research is to explore the future process of our financial product development and to suggest a three-step method to improve the new financial product development process in our country.This article discusses the history, status quo and problem of new financial product development in China. To specify the current state and the problem of new financial product development process in China, the author take the process of ABC and the new financial product-"Leankang" -for example. As comparison, The author introduces the advanced experience of RBC and Citibank in the process. RBC develops the new financial product by Stage-Gate and succeeded. All kinds of the Citibank shape her edge around globe. The contrast between China and these successful banks induce the desires to understand the reason. Therefore, the article reviews the studies in the area of service development to discuss what the reasons to the showing of Stage-Gate, and then specifies the details of Stage-Gate. And we can find the superiorities of Stage-Gate are the disadvantages of the processes in our country, such as effective control of risk, the combination of process and the key successful factors. Furthermore, the author studies Stage-Gate from the aspect of real option, and testifies the mechanism of risk control. At last, the author gives Suggestions about building a Stage-Gate process in our financial industry, which can be concluded three steps, namely, to define the demand of process, to design a Stage-Gate and to put in practice.