Finance and Business

Product in Marketing Perspective

The product, as far as marketing is concerned, is any item – whether it can be consumed, seen, experienced, worn, or used to make something to provide at a given time and place and in certain units, which is designed to fulfil certain desires, and for which people are prepared to pay a price that makes it worth the producer`s efforts to provide it.

By adding… at a price that makes it worth the producer`s effort to provide, we give emphasis to the vital function of marketing in, firstly selecting for investment the product which maximizes the arning power by all available means.

To say this, is really to bring out the fact that marketing judgements basically determine the directions in which capital resources will be deployed. Many of us will have heard the old joke about the salesman who was so persuasive that “He could even sell a refrigerator to an Eskimo!” – and yet, even if by some chance one refrigerator was indeed sold to an Eskimo, it would hardly be considered that the marketing situation justified the investment of capital in producing refrigerators for the Eskimos!

Yet this decision would have nothing to do with the intrinsic usefulness of refrigerators as such. In the tropics, for instance, the marketing of refrigeration equipment has certain very obvious factors to recommend it -assuming, of course, that other essential requirements exist for the exploitation of the market, for example, a reasonably sophisticated way of life, appropiate adequate purchasing power in a large enough section of the population, and other social and economic factors.

Ralph Glasser saying therefor, that the product must not only fulfil certain desires, but that these desires must be felt by a sufficiently large number of people.