The terms "agile development" and "iterative development" originated in the real of software products and projects. Do the same concepts apply to the development of other products?
I've mentioned previously that hardware products can benefit from agile development methods. Another domain in which the concepts apply is manufacturing.
Lean manufacturing seeks continual improvement. Just as with other forms of agile development, it embraces the assumption that it is impossible to predict up front what the final product will be. There are simply too many variables and too many uncertainties, so you implement a solution and iteratively refine it.
A product manager has to work within this process of continual improvement to ensure the product meets the market requirements in a manner that's cost effective and realistic.