Definition

What is a product?

A product is more than meets the eye. It is the total package that brings satisfaction to a consumer. “A product consists of the basic physical offering and an accompanying set of image and service features that seek to satisfy needs.” It is the tangible features that can be seen and the intangible image and service features that we cannot see but which make the product what it is.

As an example, an Intellevision home computer game by Mattel.

  • Is a rectangular box with wires connecting it to a television set (physical characteristics)
  • Has a warranty and service facilities (service characteristics)
  • Has prestige associated with ownership of a relatively new product innovation (image)

These characteristics, whether tangible or intangible, are designed to produce consumer satisfaction.

Category: Business Studies
Share it:  Cite

More from this Section

  • aa
    aa ...
  • Twisting
    Twisting means illegal practice of inducing a policyholder to drop an existing policy ...
  • Free cash flow drives
    Operations drive free cash flow. Specifically, value is added in operations through operating ...
  • Advertising media
    Advertising media is the personal or non personal means of sending a message to a target ...
  • Organisation
    Organisation— people with shared aims coming together to achieve those aims. This involves ...