Which research activity primarily drives product strategy instead of product design?

Product strategy is the high-level plan that defines the vision, goals, and direction of a product. Product strategy guides the development and delivery of a product that meets the needs and expectations of the customers and the business. Product strategy is primarily driven by the research activity of understanding Customers and values. This activity involves identifying and segmenting the target market, analyzing the customer needs, problems, and opportunities, defining the value proposition and the benefit hypothesis, and validating the assumptions and hypotheses with customer feedback. Understanding Customers and values helps to align the product strategy with the customer-centric mindset and the business outcomes.

References:

Customer Centricity - Scaled Agile Framework

Product and Solution Management - Scaled Agile Framework

Using Market Research To Drive Business Strategy | PlanBeyond