Question

Explain the following with an example:

Product

Answer 1

A product is much more than a set of physical attributes. It consists of a bundle of benefits which will provide satisfaction to the consumer. In addition to physical attributes, it comprises added values such as package, brand name, label and goodwill of the producer. A customer who purchases a car buys not merely the physical object but also acquires brand name, warranty and prestige. Thus, a product may be defined as a set of tangible and intangible attributes offered by the seller to the customers.