Product Orientation: What Is It? Examples, Activities, and Companies

A business strategy known as “product orientation” focuses on creating high-quality products that customers would buy. In other words, a product-oriented firm operates under the premise that “if you develop it properly, revenues will come.”

The opposing approach is referred to as market orientation. The fundamental distinction is that market-oriented businesses create products to meet pre-existing public interests, whereas product-oriented businesses create things they believe are strong enough to pique public interest. Examine definitions and instances of businesses using this tactic to learn more about product orientation.

Activity-Centered Products

Product orientation was quite common until the middle of the 20th century because there weren’t many options available to consumers for specific products. This concept is best exemplified by a quote from Henry Ford from the early 1900s: “Whatever client can have a car painted any colour that he wishes so long as it is black.”

But as the market kept changing, corporate plans had to expand to meet rising customer expectations. Since a lack of rivalry is now uncommon in the majority of industries, many prosperous organisations today combine market- and product-oriented strategies. Although it’s still usual for certain businesses to choose one approach over the other, few choose to adopt just one.

Product orientation, however, continues to be crucial to most organisations’ market strategies. Product research, product development, and product focus are heavily stressed during the product orientation stage of creating products.

Product Analysis

Product research is crucial for determining your chances of success when starting a business or launching a new product. Product research can involve a range of activities, including as analysing and testing product concepts, assessing the level of competition, estimating prospective manufacturing costs, and setting the product’s price so that you can make a profit.

Product Creation

This is a significant step in the process if a company places a high priority on product orientation. Even though this stage involves a wide range of operations, the goal is to create the strongest process feasible to guarantee demand. Creating and designing a new product or coming up with improvements for an existing one are common development tasks. A product’s development, testing, production, marketing, and distribution are all possible additions.

Product Attention

Mapping out aspects like marketing strategy, production, and measurements is part of product focus. Companies strive to continuously enhance their offers by concentrating on the product in order to remain competitive in their field.

Examples of Product Orientation

Although we indicated that many businesses use a combination of market orientation and product orientation, some have a stronger emphasis on the latter. These businesses are frequently innovators who burst onto the market with cutting-edge goods that customers weren’t even aware they wanted. Several instances include:

Misha Khatri
Misha Khatri is an emeritus professor in the University of Notre Dame's Department of Chemistry and Biochemistry. He graduated from Northern Illinois University with a BSc in Chemistry and Mathematics and a PhD in Physical Analytical Chemistry from the University of Utah.


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