The advantages and disadvantages of the production concept
Multinational corporations and large retailers are prime examples of organizations that are driven by the production concept. They focus on giving consumers affordable products that might be relatively basic in design but are readily available. Companies that operate using the production concept often enjoy continual, consistent sales volumes: consumers remember the brand name and know that they can find those products in many locations. However, organizations that follow the production concept focus on mass distribution and efficient production. According to Udemy, companies give consumers what they want by selling generic and basic products and may fail to attract the most discerning consumers and compete with companies that offer new and innovative products that are superior in quality, performance and even features.
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