MGTA05H3 Chapter Notes -Cable Television, Online Banking
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MGTA05H3 Full Course Notes
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Document Summary
Satisfying customers is the means to a business. A product is whatever a customer hopes to get in revenue (profit) exchange for the purchase price. Customers place value on the combination of a product"s function, features and benefits. 2 broad categories of products are goods are tangible and services are intangible but can be beneficial. Consumer products are goods and services purchased by individuals (usually for their own use) Industrial products are goods and services (parts, ingredients, materials and supplies) that are bought by one business from another in the process of making consumer products. Many businesses may not survive because they fail to. The product life cycle theory (products have finite life) suggests that every product goes through stages from introduction, growth, maturity and decline. Chapter 2: factor of production: businesses must satisfy customers in order to make a profit (which is a cycle)
