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.
More from this Section
Twisting means illegal practice of inducing a policyholder to drop an existing policy ...
- What is a product?
A product is more than meets the eye. It is the total package that brings satisfaction ...
- Free cash flow drives
Operations drive free cash flow. Specifically, value is added in operations through operating ...
A report is a formal document that states the business or event concerned in fine detail ...
- Comparative Advantage
Comparative Advantage is a theory of international trade that originated with David Ricardo ...