A PRODUCT

The economic meaning of product was first used by political economist Adam Smith. In economics and commerce, products belong to a broader category of goods

-an item that ideally satisfies a market's wanted or need

-a deliverable or set of deliverables that contribute to a business solution

PRODUCT' can be classified as tangible or intangible. A tangible product is a physical object that can be perceived by touch such as a house, automobile, computer, pencil.

An intangible product is a product that can only be perceived indirectly such as an insurance policy

                                                        Product Life Cycle Model

     Product Life Cycle Model

•       This is a hypothetical stage through which products or services pass in a given market.

•        A product is defined as "anything that is capable of satisfying customer needs.

•       This definition includes both physical products (e.g. cars, washing machines, DVD players) as well as services (e.g. insurance, banking, private health care).

•       Businesses should manage their products carefully over time to ensure that they deliver products that continue to meet customer wants 

Examples  on   Product Life cycle

INTRODUCTION           GROWTH                 MATURITY                           DECLINE

First Example

E-conferencing                           Email                         Faxes                             Handwritten letters

 

Second Example

 3^rd Generation

Mobile phones                P. DVD     Players               P Computers                      Typewriters

Third Example

Iris-based                           Smart cards                         Credit cards                 Cheque  books

Personal

 identity cards