Product Policy

The product is an important variable in the marketing mix. It is a set of tangible and intangible properties, including functional, psychological and social utility and benefits. Product may be the idea, services, goods or a combination thereof.

In marketing literature found several levels of the product.

Product design - at this level is a response to the question of the primary purpose of the product.
Product in real performance - here the main benefits of their products to associate with certain physical characteristics, quality, style, design, packaging, marking. It is these features distinguish the product of an organization than its competitors.

Backup product - in this level include features that are not natural attributes of the product. These are the services associated with the provision and operation by which provide additional benefits to the customer.
Product policy is one element of the marketing strategy of the organization on the basis of which take the following decisions:
What is nomenclature in depth and width.
What new products to produce.
How and when to market positioning.
When to be removed from production.
What to pack and mark them, and also the kind of trademark.

Decisions concerning the selection of brand 

New product development and marketing strategy 

Decisions about product placement

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