In marketing terms, we can define a product as being anything which can satisfy a need or a desire and is available for purchase on the market. A product can be offered in the form of a good, a service, an idea, a person or a combination between these elements. While producers see the object as aphysical thing, consumers are actually buying the advantages that a certain product can deliver. In general, when a product is defined, the following aspects have to be taken into consideration: product policy-definition
A strategic rule or rules covering how a good or service is promoted to potential consumers. A typical product policy created by a business for a manufactured product might attempt to manage how the item will be perceived by its target market and could also contain information about how durable the product is.
A firm's product policy reflects its marketing orientation. Following the framework of IPLC, a firm may begin exporting the products it sells in the domestic market. Alternatively, it may recognise the significant differences in customer needs, conditions of product use, etc., and may plan for exporting different products or product versions to meet the specific needs of each of its different global market segments. In the latter case, the exporting firm would thus offer a large product mix. The other option available to exporting firms is to develop a new product for the export markets. This new product may be the result of the firm's own R&D acquisition or joint venture with a business partner in the host country. Interesting examples, here, include Coca-Cola Corporation which having entered Japan in 1958 had added Fanta and Sprite by 1970 and still later introduced fruit drink products, carbonated orange fruit drinks and also potato chips which were not even sold by the company in its US market. Similarly, IBM developed EPABX within the U.K. An International marketer may use one of the...
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