Question

If a company is making a decision on whether to invest in a new product what is the best action to take first?

Answer 1

Deciding if the item is a want or need is normally not what most companies do, they normally enforce the idea that their product is a need, however, this would be smart to do in the company's case. 

Investing in other products that create less debt doesn't do much for them, they're aiming to go for one product, not have a bunch of other nonworking yet cheaper products to do the job of the original product they're after.

Using money to purchase needs is smart, but also foolish if they aim to rise in the market. I think that this step would be best for the consumer while attempting to buy things, but not for a company.

Conducting a cost-benefit analysis to determine the overall benefit of the product is also a smart thing to do, as it's cost-efficient for the company, they learn if it's overall useful or not, and if it is good for them they will buy the product and use it.

I would go with C, personally.