In addition to cost,how are industrial products divided into product categories?
A) What area of the organization will use them
B) Competitive nature of acquiring the item
C) Availability
D) How they will be used
E) How easily the item can be turned into a consumable good

Question

Quizplus · Accepted Answer

Industrial products are often divided into product categories based on how they will be used, such as raw materials, component parts, and maintenance, repair, and operating (MRO) supplies. This helps companies to better manage their procurement and inventory processes, as well as to ensure they have the right products on hand to meet their production needs. Factors such as the area of the organization that will use the product, competitiveness, and availability may also be considered, but are not the primary means of categorization. The ease with which the item can be turned into a consumable good is also not a primary factor in categorizing industrial products.

In Addition to Cost,how Are Industrial Products Divided into Product