How can a metals commodity Exchange launch plastics futures contracts?

The LME is the world¿s leading non-ferrous metals exchange, with a rich history and heritage, proven track record in the metals business and an identifiably strong physical trading and warehousing model. These factors have helped underpin the exchange¿s position as the global leader in the core markets it serves. However, the very success of the exchange in its core product markets, coupled with growth demands from members, has driven member and industry expectations for the Exchange to deliver further contract enhancements and successful new contracts to trade. This work has critically evaluated the New Product Development (NPD) and Innovation processes surrounding the launch on the LME of the world¿s first exchange traded plastics futures contracts in May 2005. Through four key research and five business objectives relating to the NPD prosess and appraisal of established models, this report identified recurring themes that were categorised into an NPD ¿Best Practice¿ framework. The report then considered the role of NPD and innovation in developing Sustainable Competitive Advantage (SCA), a challenging proposition in the current turbulent market and exchange environment.