A city is an evolving organism which is in a constant state of change and re-creation. Urban design, which is a term made up of the words "urban" (city) and "design", has risen as a major issue among most prominent global cities. Korea, under the auspices of Design Korea has been implementing urban design policies to make Korean cities more attractive and livable. This research has attempted to clearly define the definition of urban design, analyzed paradigms of urban design from the middle ages to modern day in Europe and postmodern times till the era of meta, which is 2008 at the present time focusing on urban context of North America. It has reviewed contemporary urban planning paradigms of major cities of the world in order to suggest a direction for a new future urban design paradigm. This research attempts to define a new paradigm of urban design in the hopes of applying it to Korean urban design policy by applying an `innovation` factor in the NPD process as a hybrid element, as the aim of product design and urban design can be seen as being equal in the sense of providing value and emotion to customers. The Paradigm of urban design has shifted from beautification, functionalism, and contextualism to focus on organism. The new paradigm of urban design should consider a 3rd factor `innovation` as the third axis along with the function and aesthetics of a city to provide `desirable life experiences` to citizens, and the new paradigm should be designed in an organic way by integrating and considering collaborative factors in cities along with proper and appropriate strategies.