Quality helps...
Quality produces this among customers so that businesses keep their customers and attract new ones.
What is Customer Loyalty?
Another word for "wholesalers", "retailers", and "agents"?
What are middlemen?
Traditional method of checking quality of products
What is Quality Control?
A system of setting agreed quality standards for every stage of production
What is Quality Assurance?
Costs that have to be paid (and do not change) whether you make 0 products or 1,000 products
What are Fixed Costs?
Consumers pay much higher for quality products
What is Premium Pricing
A cycle that includes Introduction, Growth, Maturity, and Decline stages
What is "The Product Life Cycle"?
Employees who check the quality of a finished product at the end of production.
What are Quality Inspectors
These are needed and in the required quality standards BEFORE production can begin.
What are raw materials?
Costs that change depending on if you make 1 product (very small cost) or 1,000 products (costs increase)
What are Variable Costs?
Free from defects, or "It works the way you want it to work".
What is Quality (in the IGCSE Business sense)?
Products that fail will be returned to the business. The business will have to replace the defective product or pay back the money the customer gave. If this keeps happening the business reputation will suffer and customers will stop buying.
What is "Quality helps reduce costs, customer complaints, and returns"?
A small portion of the entire production volume is checked for quality
What is sampling?
Using computers to improve product quality by 'testing' the product as a computer model without the need of a physical model
What is Computer Aided Design?
The money earned by company by selling a certain amount or volume of the product (Also calculated by Volume X Price)
What is Revenue?
The best possible product using the most advanced technology with the most expensive materials.
What is Quality (outside Business) OR
What Quality is NOT (inside Business Studies)
Manufacturers need middlemen who will distribute the product. Desirable products will make middlemen want to stock the product.
What is "Quality encourages wholesalers and retailers to stock the product"?
This is the reason which demotivates quality inspectors such that they do not do their work efficiently.
Why is Quality Inspection "repetitive and boring" for Quality Inspectors?
A regular meeting where workers think of ways to make production more efficient.
What are Quality Circles?
Fixed Costs + Variable Costs
(or Fixed Costs + (Unit Variable Costs X Volume))
What are Total Costs?
Because of this, it is easier to introduce new products. Because of the business's reputation, people will think a new product will have the same quality as previous products.
What is a "Strong Brand Image"?
Good quality products will continue to meet the needs of customers, making a product stay in the profitable "maturity" stage much longer.
What is "Quality helps lengthen product life cycles"?
Workers do not see this as part of their job so workers do not ensure this during the production process.
What is Quality Control?
A meeting to improve production, then the improvements are applied and measured, then the workers meet again to improve production further. A.k.a. "Continuous Improvement"
What is "Kaizen"?
The amount by which sales exceed breakeven level of output?
What is the Margin of Safety?