A product is any thing that can satisfy a want or need. A product can be: tangible as well as intangible. Tangible products are like; physical goods such as (chair, pen, car, book etc), Intangible products are like; service, experience, event, information, and an idea. A product has got five levels (customer value hierarchy) they are as follows; 1.core benefit; 2.basic product; 3.expected product; 4.augment (supplement) product; 5.potential product. Product classification on the basis of characteristics is as follows; 1.durable goods;like car, furniture etc 2.non-durable goods; like soap, shampoo etc 3.services; like haircut, appliance repair, legal advice. Consumers’ goods classification on the basis of shopping is as follows; 1.shopping goods; like cloth, furniture etc 2.specialty goods; like cars, photographic equipments, stereo component etc 3.unsought goods; like life insurance, encyclopedias, reference book etc 4.staple (primary) goods; like toothpaste, soap, shampoo etc 5.impulse (desire) goods; like chocolate, potato chips etc 6.emergency goods; like umbrellas, raincoats etc. Industrial goods classification on the basis of production; 1.material; like raw material 2.parts; like different components used for a specific machine to be produced. Product differentiation; Product differentiation can be done through different ways, they are as follows; 1.form; 2.feature; 3.performance quality; 4.durability; 5.reliability; 6.reparability; 7.style (design) 8.fuel efficiency; 9.eco-friendliness; 10.customization. Service differentiation; Once a factory fails in product differentiation, it innovates service differentiation, they are as follows; 1.ordering ease; 2.delivery; 3.installation; 4.customer training; 5.maintenance & repair; 6.customer consulting;
