Product & Market Orientation

• Product orientation = the business develops products based on what it is good at making or doing, rather than what a customer wants
• Market orientation = A marketing orientated approach means a business reacts to what customers want
• Tools of Product orientation:

  • product research
  • product testing
  • product focus
• One problem with being too product orientated is that over time your business may move further and further away from what the market is looking for, thus increasing the risk of business failure
• Tools of market orientation:

  • market research
  • market testing
  • market focus
• result of market orientation is that the firm will benefit from increased demand, increased profits, and a valued brand image as its products become more desirable