“With the increase in the supply of the products, customers started looking for products which were superior in quality, performance and features. The focus of business activity changed to bringing continuous improvement in the quality, incorporating new features, etc”.
Identify the marketing philosophy highlighted in the above lines.
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → Product Concept
Option (1) Production Concept — Incorrect. Under the production concept, firms focused on producing large quantities at low cost. They assumed customers wanted products that were cheap and easily available. This held when goods were scarce.
Option (2) Product Concept — Correct. Once supply increased, low price alone could not ensure sales. Customers began to look for products superior in quality, performance and features. Firms shifted from quantity to quality, and product improvement became the key to profit.
Option (3) Selling Concept — Incorrect. Under the selling concept, firms relied on aggressive selling and promotion to persuade customers to buy. It came after the product concept, when good quality alone no longer ensured sales.
Option (4) Marketing Concept — Incorrect. Under the marketing concept, a firm first finds out what customers need and then satisfies those needs better than its competitors.
NCERT (2026-27 Edition): “The Product Concept … Thus, with the increase in the supply of the products, customers started looking for products which were superior in quality, performance and features. Therefore, the emphasis of the firms shifted from quantity of production to quality of products. The focus of business activity changed to bringing continuous improvement in the quality, incorporating new features, etc. Thus, product improvement became the key to profit maximisation of a firm, under the concept of product orientation.” |
Note: The same/similar question has been asked in different years by NTA as per the details given below:
| 2026 | 2025 | 2024 | 2023 | 2022 |
| 06-06 S1 20-05 S1 | – | – | – | – |