Product (business)

In marketing, the product is an object, or system, or improvement made available for consumer usage as of the consumer demand; it is for anything that can be present to a market to satisfy the desire or need of a customer. In retailing, products are often covered to as merchandise, & in manufacturing, products are bought as raw materials & then sold as finished goods. A service is also regarded as a type of product.

Commodities are usually raw materials such as metals and agricultural products, but a commodity can also be anything widely available in the open market. In project management, products are the formal definition of the project deliverables that defecate up or contribute to delivering the objectives of the project.

A related concept is that of a sub-product, a secondary but useful or done as a reaction to a impeach of a production process.

Dangerous products, especially physical ones, that draw injuries to consumers or bystanders may be included to product liability.

Product classification

A product can be classified as tangible or intangible. A tangible product is an actual physical thing that can be perceived by touch such(a) as a building, vehicle, gadget, or clothing. An intangible product is a product that can only be perceived indirectly such as an insurance policy. Services can be broadly classified under intangible products, which can be durable or nondurable.

In its online product catalog, retailer Sears, Roebuck and Company divides its products into "departments", then filed products to potential shoppers according to 1 function or 2 brand. used to refer to every one of two or more people or matters product has a Sears portion number and a manufacturer's good example number. Sears uses the departments and product groupings with the aim of helping customers browse products by function or classification within a traditional department-store structure.

A product shape is "a group of products that are closely related, either because they function in a similar manner, are sold to the same customer groups, are marketed through the same types of outlets, or fall within given price ranges." Many businesses advertisement a range of product grouping which may be unique to a single organisation or may be common across the business's industry. In 2002 the US Census compiled revenue figures for the finance and insurance industry by various product layout such as "accident, health and medical insurance premiums" and "income from secured consumer loans". Within the insurance industry, product lines are indicated by the type of risk coverage, such as auto insurance, commercial insurance and life insurance.

Various classification systems for products have been developed for economic statistical purposes. The NAFTA signatories are works on a system that classifies products called NAPCS as a companion to the North American Industry Classification System NAICS. The European Union uses a "Classification of Products by Activity" among other product classifications. The United Nations also classifies products for international economic activity reporting.

The Aspinwall Classification System classifies and rates products based on five variables:

The National Institute of Governmental Purchasing NIGP developed a commodity and services classification system for use by state and local governments, the NIGP Code. The NIGP program is used by 33 states within the United States as well as thousands of cities, counties and political subdivisions. The NIGP program is a hierarchical schema consisting of a 3 digit class, 5 digit class-item, 7 digit class-item-group, and an 11 digit class-item-group-detail. applications of the NIGP Code add vendor registration, inventory bit identification, contract item management, spend analysis, and strategic sourcing.