Consider the following statements about ‘Product’ as an element of the marketing mix:
(A) Product means goods or services or anything of value which is offered to the market for sale.
(B) The concept of product includes the benefits offered by it from the customer’s point of view.
(C) Discounts and credit terms offered to customers form part of the extended product.
(D) Deciding the labelling and branding of goods is a decision about the product.
Which of the above statements are correct?
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → (A), (B) and (D) only
(A) Product means goods or services or anything of value which is offered to the market for sale. — Correct. A product is anything of value offered for sale. It may be goods, services or something else.
(B) The concept of product includes the benefits offered by it from the customer’s point of view. — Correct. The product also includes the benefits it gives to the customer. For example, toothpaste is bought for white teeth and strong gums.
(C) Discounts and credit terms offered to customers form part of the extended product. — Incorrect. Discounts and credit terms are decisions about price. The extended product means after sales services, handling complaints and availability of spare parts.
(D) Deciding the labelling and branding of goods is a decision about the product. — Correct. Features, quality, packaging, labelling and branding are the important product decisions.
NCERT (2026-27 Edition): “1. Product: Product means goods or services or ‘anything of value’, which is offered to the market for sale. For example, Hindustan lever offers number of consumer products like toiletries (Close-Up toothpaste, Lifebuoy soap, etc.), detergent powder (Surf, Wheel), food products (Refined Vegetable Oil); Tata offers Tata Steel, Trucks, Salt and a large number of other products; LG electronics offers televisions, refrigerators, colour monitors for computers, etc; Amul offers a number of food products (Amul milk, ghee, butter, cheese, chocolates, etc.). The concept of product relates to not only the physical product as mentioned in the above examples but also the benefits offered by it from customer’s view point (for example toothpaste is bought for whitening teeth, strengthening gums, etc.). The concept of product also include the extended product or what is offered to the customers by way of after sales services, handling complaints, availability of spare parts etc. These aspects are very important, particularly in the marketing of consumer durable products (like Automobiles, refrigerators, etc.). The important product decisions include deciding about the features, quality, packaging, labelling and branding of the products.” |