Quiz 12: Small Business Marketing: Product

Business

The following are the primary problems of D Company that have been identified: • Lack of knowledge about global competitors • Failure to adopt good product strategy • Ineffective inventory management system • Failure to determine the level of customer expectations about the product

Product in small business: A product can be defined as an item or object that is available for sale. It may be a tangible product or intangible product or a combination of tangible and intangible. "Many small businesses are built one product in the marketplace." Risks involved in this approach: The following are the risks involved in this approach: • Number of competitors will be high in the marketplace, selling substitute products at a lower price. • Customer's preference and taste will differ from time to time. This may lead to a loss of existing customers. The above risks should be minimized by developing new and innovative products in the market. Developing new products: New products should be developed based on the latest trends, technology, and other expectations of the customers. The following are the factors that should be taken into consideration while developing new products in the market: • Product designs • Value analysis • Creating innovative product • Product price • Impact of new product

Factors that should be considered when purchasing for a small business: The following are the few factors that should be considered when purchasing for a small business: • Alternative selection: Before buying any product from the market, the buyer should have several alternatives. • Quality product: Right and quality product should be chosen that satisfies the needs of the customer. • Place: Channel of distribution for the product. • Price: The price of the product should be more attractive to the customers. It may differ from one supplier to another. • Suppliers: Supplier is the most important factor while purchasing for small business. Select the suppliers who are more suitable for a particular product.