If land routes were chosen and treaties with Native Americans could not be negotiated the demand for arrows would be great. If land routes were chosen and treaties with Native Americans could be negotiated the demand for Conestoga wagons would be great. If water routes were chosen, the demand for barrels would be great. The company has developed the following pay-off table. Basic research has the objective of advancing the state of knowledge about a subject, without any near-term expectation of commercial applications.
Applied research has the objective of achieving commercial applications.
Development converts the results of applied research into useful commercial applications. Introduction to market. Evaluation - success, failure or modification. Fixed duties and responsibilities exist. Charged with product development including marketability, manufacturing and serviceability.