this slide covers concept of product and its essential features, concept of services and its essential features, classification of product.

1. Products and Services
Unit-3
Business Administration(833)
Raj Narayan Yadav
www.rajnarayan7.blogspot.com

2. “A product is anything that can be offered to a market for attention, acquisition,
use or consumption that might satisfy a want or need. It includes physical
objectives, services, person, places, organisations and ideas.”

3. Concept of the Product:
A product is a set of tangible physical attributes assembled in an identifiable
form. Each product carries a name, such as car, iron, building etc. But in
marketing, a product is anything which can satisfy a need, want or desire of
consumers and can be offered in an exchange process. Hence, a product
can be commodity, service, idea or a combination of all these. A commodity
is a tangible object such as watch. A service is an intangible which provides
benefits and satisfaction to the users such as health service or doctors’ or
nurses’ service. An idea is a philosophy or concept such as ‘’stop smoking,’’
‘’use seat belt during driving’’, ‘’suggestion for doing physical exercises’’.
etc

4. Features of the product
1. Tangibility:
To be a product, it should have a tangibility character such
as it can be touched or seen, for example a car, building,
cloth etc.

5. Features of the product
2. Intangible Attributes:
The product may also be intangible in the form of services
for instance, banking, insurance, music composition,
repairing, nursing etc.

6. Features of the product
3. Associated Attributes:
A product may have number of features which differentiate it from
competitor’s products. Associated attributes usually cover the colour,
package, brand name, installation instruction etc. For example
Hindustan Lever’s vanaspati ghee has a brand name DALDA and with its
package it can be identified by the consumers.

7. Features of the product
4. Exchange Value:
A product may be tangible or intangible but it must have exchange
value. It must be capable of being exchanged between seller and buyer
at mutual agreed price.

8. Features of the product
5. Consumer Satisfaction:
A product should have the capacity to satisfy consumer’s real or
psychological needs and wants. At the same time, it must have capacity
to generate profit for the satisfaction of sellers.

47. services