topic 1

• A ______ is a good, a service, or an idea received in an exchange. It is anything that can be offered to a market to satisfy the needs of a customer.

  product
• a physical object that can be perceived by touch


  tangible product
• a product that can be perceived indirectly

  intangible product
• this can be broadly classified under intangible products which can be durable or non-durable.

  services
• is a concept, philosophy, or image, issues or inventions. it provides the psychological stimulation that aids in solving problems.

  idea
• it is the analysis of a product according to the different level of benefits it offers.

  product anatomy
• a benefit of a product. it is the benefit of the product

  core product
• a level of a product. it is the tangible, physical product.

  actual product
• a level of a product. it is the supplemental features provide added value or attributes in addition to its core utility or benefit.

  augmented product
• it is important because classes of products are aimed at particular target markets which affect distribution, promotion, and pricing decisions, etc.

  product classification
• these are products purchased to satisfy personal and family needs.

  consumer products
• the four categories in classifying consumer products

  convenience goods, shopping goods, specialty goods, unsought products
• these are relatively inexpensive, frequently purchased items.

  convenience goods
• goods in which the consumer is willing to invest a great deal of time and effort.

  shopping goods
• goods that are of interest only to a narrow segment of the population and buyers are willing to spend considerable effort to obtain. they know exactly what they want and will not accept a substitute.

  specialty goods
• products purchased when a sudden problem must be solved, consumers are unaware of, and products that people do not necessarily think of purchasing.

  unsought products
• products bought to use in a firm's operations, usually purchased on the basis of an organization's goals. the functional aspect is the most important part.

  business products
• seven categories of business products.

  installations, accessory equipment, raw materials, component parts, process materials, MRO supplies, business services
• this business product include facilities such as office buildings

  installations
• this business product does not become part of the physical product but is used in production or office activities.

  accessory equipment
• this business product is the basic natural material used in marketing a physical product. bought and sold according to grades, etc

  raw materials
• this business product become part of the physical product and are either finished items ready for assembly or needs processing.

  components parts
• this business product is used directly in the production of other products not readily identifiable

  process materials
• this business product is called maintenance, repair and operating items that facilitate production but does not become part of the finished product.

  mro supplies
• this business products are the intangible products that many organizations use in their operations

  business services
• this is a specific version of a product that can be designated as a distinct offering among an organization's products

  product item
• a group of closely related product items that are considered to be a unit because of marketing, technical, or end-use considerations

  product line
• describes the combination of different product lines that the firm holds. the total group of products that an organization makes available to customers.

  product mix
• this is measured by the number of product lines a company offers.

  width of product mix
• this refers to the average number of diff products offered in each product line.

  depth of product mix