Advantages Of Product-Oriented Business

With product-oriented business, the focus is specifically directed on the production of qualitative product. Once, the formulation of such product has been made, the company is most likely to face intimate success inasmuch as it enables the company to efficiently create this product and in mass quantities.

First of all, a product-oriented business allows the business to focus on product quality. In

Bender’s online article (2005), he stated that a product-oriented business focuses its efforts on products as its strength. One advantage of a product-oriented business is its sole focus on creating a perfect product and not worried about what the customer wants to buy or what the market says will sell in a certain economy. A small business tends

This means that all of the company’s money and efforts required in the production and completion are solely directed to its exact objective which is to produce an excellent quality-product.

Then, Dr. W. Edward Deming, a quality guru who claims that a business achieves a long- term competitive strength through higher quality that leads to higher productivity. Deming’s theory explains the improvements in quality which resulted into lower costs and higher productivity due to less rework, fewer mistakes, fewer delays, and better use of time and materials so it works to specifics for quality and productivity improvement. Deming as quality guru encourages a statistical analysis of the manufacturing process and emphasizes cooperation of workers and management to achieve high-quality products. Also, his quality methods target the prevention of product defects by tallying, analyzing their causes, correcting those causes, then, recording the effects of the corrections

(Pryor, 2005). This implies a good mindset to businessmen that it is less costly in the long-run to get things done right the first time then fix them later.

Likewise, “Product design”, suggests Vonderembse (2004) “is cross-functional,

product design is a critical factor in organizational success because it sets the characteristics, features, and performance of the goods that consumers demand. The objective of product design is to create a product with excellent functional utility and sales appeal at an acceptable cost and within a reasonable time.” The resulting product should be competitive with or better than similar products on the market in terms of quality, appearance, service life, and price.

Lastly, the main task of a product-oriented business is to continue improving quality and reducing costs as key factors to maintain and attract customers. As mentioned in an online article by

Sun (2004) businesses are established to make money as quickly as possible that is why it is hard to emphasize quality over quantity. A high quality product tends to be expensive and time consuming while a low quality product tends to be quickly outsourced with a minimal time commitment. A product with shoddy construction will cause damage in the overall sales. It was suggested to have a product design team where it can create attractive designs while keeping costs under control by creating an illusion of an expensive product which is actually cheap to manufacture and