4.3 Product Plan: Product and Varieties of Product

Naturally companies want to start from a particular product due to capital limitations, or trial purpose, or both. As they move on, they would like to start producing more products to increase company`s sale and increase customer`s loyalty to the company.

Product Line: This is a group of products that linked through usage, customer profile, price points, and distribution channels or needs satisfaction (Marshall and Johnston, 2010, p. 284). One of the strategies of this is to target consumers and create a catalogue for them, so that their purchases will revolve within the product line.

Product Mix: This is a combination of all the products offered by a company. The product mix of a company depends on its size, financial capital and managerial abilities.

Pricing: In all the product mix aspects, pricing carries the most significant role. Pricing is influenced by product decisions. It is very essential for a company to harmonize the individual products price points and all products in product lines. A company can target specific customers with multiple price points such as ‘good, ‘better’ and ‘best’ price line strategy (Marshall and Johnston, 2010). Sometimes companies find it difficult to price a new product. In the case of IT-related items, the latest technology carries lower price than the previous one.