A product is a tangible form of value. To create a product-oriented business, you must:
- Create a tangible item that people want.
- Produce that item at as low a cost as possible, while keeping an adequate level of quality.
- Sell as many units as possible for as high a price you can get.
- Have enough inventory available to fulfill orders as they come in.
Products can be durable, such as hardback books, laptops, and treadmills. They can also be consumable goods such as spinach, blueberries, and vitamins. Products don’t even need to be physical – things like antivirus software, MP3 music files, and ebooks can be sold as well.
Creating value in product form is beneficial because products can be Duplicated or Multiplied. They usually Scale better than other forms of value.
To learn more about the product as a form of value, check out The Personal MBA by Josh Kaufman.
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