Non Price Competition


In spite of the emphasis placed on price in microeconomic theory, marketers often compete on product attributes other than price. You may have noted that price differences between products such as gasoline, men’s haircuts, candy bars, and even major products such as compact cars and private colleges are often small, if there is any price difference at all. Very rarely will you see price used as a major promotional appeal on television. Instead, marketers tend to stress product images and consumer benefits such as comfort, style, convenience, and durability.

Many organizations promote the services that accompany basic products rather than price. The idea is to make a relatively homogeneous product better by offering more service. Quite often the reason marketers emphasize non-price is because prices are so easy to match. Few competitors can match the image of a friendly, responsive, consumer-oriented company.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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Failure Mode and Effect Analysis (FMEA)


“It is always better to be prepared and prevent rather than to repair and repent.” This is a quotation which emphasizes preventive techniques.

World is ever changing. People went better from good and best from better. Industry people have also begun to think of different approaches to satisfy the customer. They have now come to the stage of finding out the methods to prevent a problem rather than ‘finding out a solution to a problem’ and finding out methods to eliminate waste from monitoring of waste.

Failure mode and effect analysis is one of the tools of total quality management which helps in finding out the possible failure modes of a design, product, process or service and setting up ways to prevent their occurrence.

FMEA is a proactive tool which is used to foresee the probable failures that can occur at a later stage. This forces one to analyze critically each and every process with the sole aim of identifying problems that may emerge.

  • A failure mode and effect analysis is an engineering technique used to define, identify and eliminate known and/or potential failures, problems, errors and so on from the system, design, process and/or service before they reach the customer.
  • The FMEA will identify corrective actions required to prevent failures from reaching the customer, thereby assuring the highest durability, quality and reliability possible in a product or service.

FMEA involves:

  • Identifying known and potential failure mode;
  • Identifying cause and effect of each failure mode;
  • Prioritizing the failure mode according to Risk Priority Number;
  • Finding out preventive action for failure mode.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Line of Sight