Unit 16 –Quality

Quality is the elimination of variation , or to put it another way , conformity to specification . Things should turn out as they were designed and intended to be. Product /service quality is the totality of features and characteristics of a product or service such as appearance , reliability , durability , serviceability .A key to successful quality is first to set a strategy , and then to communicate this strategy effectively as a them to employees and customers. The quality of products or services provided by business in an important concern to both the organization and its customers . The concept of quality concerns how well and for how long a product or service meets the requirements of the customer. The quality of a product or service is the result of two separate activities :1) Product /service design , and 2) the operations system that makes the product or provides the service . At the same time the customer’s confidence in the level of quality should be attentively considered , cost of quality problems is also an important factor . Poor quality Specialists on Japanese quality suggest as much as 85% of the quality problems are management problems . But at the same time within an organization we find not only management , employees , material , facilities , and equipment all affect quality . But management rather than employees , have the authority and tools to correct faults . The company should aim for the highest quality level possible, because a lack of quality can be more expensive than achieving high quality . Quality theorists have shown that prevention is usually much cheaper than failures . Every extra dollar spend on prevention might save $10 spent on inspection and failure costs . Further more . even if the current quality level appears perfect , the company should still continuously look for product improvement , and aim to be the best in the industry . Companies should always engage in benchmarking , when a firm sees which company performed in a particular task best and model their performance on this best practice . Quality control : The Japanese invented quality circles: voluntary groups of 6 to 12 people , who are usually given training in problem-solving , analysis , and reporting , identify sources , find solutions to eliminate them , and propose these to management . Quality circles have been less successful in the more individualistic cultures of America and Europe . Another idea developed in Japan is the system of just-in-time production or lean manufacturing , where parts are only made and supplied when they are needed , so that the need of financing and storing of inventories of parts are eliminated .

Unit 2- Brands

Brand – a name given to a product or group of products by a company to easy recognition. A brand can be a nam, a term or a symbol. The brand name means not only the trade mark but also, as rule, the firm and its product and services. This name also includes the goodwill which is additional value of goods and services.

It is used to differentiate a product from competitor’s products. The consumers trust those products and services which guarantee them good quality and design, wide range of choice and good reputation of products. In the process of promotion different kind of advertising provide brand awareness, show its core values and create brand image. There are different types of brands. There are the stand alone brands or individual brands, for example Ariel, Haagen Daaz ice-cream or Marlboro cigarettes. They require separate marketing support. There's also the corporate branding, or family brands such as Heinz or Virgin, Marks and Spencer, Levis. Brand stretching – is a process when a company starts to use an existing brand name on a different type of product, hoping that people will buy it because they recognize the name.

Some brands easily stretch into other kinds of goods and services. Brand stretch best when they have an emotional response. One of the most successful brand-stretchers is Walt Disney, which has added merchandise shops, books, videos, games and theme parks to its original filmmaking. The move from making children’s cartoons to other products using the same figures appears a natural development. Now the problem of counterfeiting and fashion piracy is getting worse all over the world.

Counterfeiter – is a person who copies goods in order to trick people.At the modern fashion goods market there often happen “fashion piracy” cases: illegal coping of products and designs of famous firms in order to get profit. The better known the brand name, the more people want to rip it off. The fake goods not only reduce the company’s own sales but damage its brand image by linking it to poor quality mechandise. Very many people buy cheap goods with a disign of a famouse brands without realising that it’s a fake.