Product is a bundle of utilities. Do you agree? Comment.

1.	Product is a bundle of utilities. Do you agree? Comment.
Answer» Yes, product is a bundle of utilities, which is purchased because of its capability to provide satisfaction of certain needs. A buyer buys a product or service for what it does for them or the benefits it provides. There can be three types of benefits, it provides to a customer. 1. functional benefits 2. psychological benefits 3. social benefits. e.g., the purchase of a motorcycle provides functional utility of transportation, but at the same time satisfies the need for prestige and esteem and provides social benefit by the way of acceptance from a group by riding it.

Answer»

Yes, product is a bundle of utilities, which is purchased because of its capability to provide satisfaction of certain needs. A buyer buys a product or service for what it does for them or the benefits it provides. There can be three types of benefits, it provides to a customer.

1. functional benefits

2. psychological benefits

3. social benefits.

e.g., the purchase of a motorcycle provides functional utility of transportation, but at the same time satisfies the need for prestige and esteem and provides social benefit by the way of acceptance from a group by riding it.

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