'Product is a bundle of utilities' and 'Product is a mixture of tangible and intangible attributes.' Discuss.
Dear Student,
Yes, we agree that product is a bundle of utilities as it provides many benefits for the customers.
There can be three types of benefits a customer may seek to satisfy from the purchase of a product, viz., (i) functional benefits- when cap is worn to protect us from sunlight
(ii) psychological benefits- when the same cap is worn for looking smart and (iii) social benefits- when people find him looking good and appreciates him in front of a society.
When we think about a product, generally, it refers only to the tangible attributes of a product, e.g. if we bought a bike, while taking buying decision, we along with tangible attributes also consider the intangible attributes of a product.
The examples of intangible attributes are brand name, image of the company, guarantee, warranty, packaging. Therefore, in marketing, product is a mixture of tangible and intangible attributes, which are capable of being exchanged for a consideration and satisfy the customer needs and wants.
Regards.
Yes, we agree that product is a bundle of utilities as it provides many benefits for the customers.
There can be three types of benefits a customer may seek to satisfy from the purchase of a product, viz., (i) functional benefits- when cap is worn to protect us from sunlight
(ii) psychological benefits- when the same cap is worn for looking smart and (iii) social benefits- when people find him looking good and appreciates him in front of a society.
When we think about a product, generally, it refers only to the tangible attributes of a product, e.g. if we bought a bike, while taking buying decision, we along with tangible attributes also consider the intangible attributes of a product.
The examples of intangible attributes are brand name, image of the company, guarantee, warranty, packaging. Therefore, in marketing, product is a mixture of tangible and intangible attributes, which are capable of being exchanged for a consideration and satisfy the customer needs and wants.
Regards.