In today's business world, one of the most important problems that companies encounter is new product failure. The high product failure rate has been a major concern for practitioners for many years. It was reported that almost half of the new products introduced each year will actually fail (eg, Sivadas and Dwyer 2000; Zirger and Maidique 1990). Given the fact that the increasing level of technological advancement, consumer expectations, and domestic as well as international competitive pressures continue to shorten the product life cycle for new products, it has become extremely important for companies to understand the critical determinants of new product success and failure and to be able to develop satisfactory, failure-free, and long-living products for markets.