Question

Explain various types of products.

Answer 1

Broadly speaking, products are of two types.

1. Consumer Products: Consumer products are meant for final consumption and are not for further sale. There are three types of consumer products.
   1. Convenience Products: These products are available with a minimum of effort and are purchased frequently, e.g. tea, soaps, toothpaste, etc.
   2. Shopping Products: These are bought after due shopping efforts, including comparing goods on the basis of quality, price, suitability, etc., e.g., TV, furniture, music systems, washing machines, and kitchen appliances.
   3. Speciality Products: These products are of special importance to the consumer. The buyers are ready to make special efforts to purchase these goods, e.g., jewellery and fancy items.
2. Industrial Products: These products are used for further production of goods and services. These can be further classified as below.
   1. Raw Materials: These are used as the main inputs in the industry, such as wood in furniture factories.
   2. Supplies: These are helpful in the production but are not the main inputs, e.g. nuts, bolts, lubricants, fuel etc.
   3. Fixed Assets: These include heavy machinery, factory sites, trucks etc.