QUALITY AND INCOME

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 QUALITY AND COMPANY ECONOMICS

lures, and so on. Higher “quality” means fewer errors, fewer defects, and fewer fie

es make the product salable and provide “product satisfaction” to customers. Highe

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 MAJOR ECONOMIC INFLUENCES

eir protection against poor quality is derived more from their collective politic

tries the entire economy is so organized. These monopolies limit the choice of th

ds exceeds the supply, so users must take what they can get (and bid up the price

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 MAJOR ECONOMIC INFLUENCES

an beings place their safety, health, and even their daily well-being behind numer

ve users to buy. Many of the users who buy these new models do so while possessin

ife of the product. This situation is at its worst when the original manufacturer

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NTRAST IN VIEWS : CUSTOMER AND SUPPLIER

their functions. Customers may be merchants, processors, ultimate users, and so on,

s in product features. These variations are often called “grades.”

Example:
le grades of automobiles . The higher grades supply services beyond pur

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NTRAST IN VIEWS : CUSTOMER AND SUPPLIER

f the product which respond to customer needs. In addition, quality includes freed

the stated needs and translating those needs into suppliers’ language

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NTRAST IN VIEWS : CUSTOMER AND SUPPLIER

clude matters of a psychological nature. Such needs apply to both goods and servi

enables amateurs to use technological and other complex products with confidence.

provides a degree of assurance that human beings are aware of the problem and th

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NTRAST IN VIEWS : CUSTOMER AND SUPPLIER

l be resisted by that employee. The stated reasons for the resistance will be on

forms:

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EDS RELATED TO PRODUCT DISSATISFACTION

ce. These new needs are communicated through customer complaints, which then are a

Example

pe of product involved . The reasons for not complaining included : the

the percentage varied depending on the type of product involved .

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 SOURCES OF CUSTOMER NEEDS

e, a vacuum waiting to be filled emerges. Human ingenuity then finds ways to fill

luent people to pay someone else to do onerous chores.

” In such cultures, those who can serve customers in the shortest time are reward

examples are fashions in clothing and concerns over health that have reduced the

ustomers with new versions of existing products.

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 QUALITY AND PRICE

have often reported confused relationships, some of which appear to run contrary

fer various theories to explain why so many consumers seem to be acting contrary

iced product is also a higher-quality product.

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 QUALITY AND PRICE

s. In many cases, the supplier can gain more from higher share of market than from

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 QUALITY AND PRICE

useful to consumers. However, the impact of such information is limited because o

y much better informed of the significance of these concepts. In addition, industr

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 QUALITY AND SHARE OF MARKET

crease of 20 percent in sales creates an increase of 50 percent in profit, since

so. Much depends on the nature and degree of superiority and especially on the ab

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 QUALITY AND SHARE OF MARKET

packaging, and so on.

bids before awarding large contracts. Industrial companies require their purchasi

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ALITY LEADERSHIP AND BUSINESS STRATEGY

d, this franchise can be maintained through continuing product improvement and eff
nized.

such evidence, the leadership can endure for decades and even centuries. However,

ssociation adopts and publicizes some mark or symbol. The quality reputation beco

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ALITY LEADERSHIP AND BUSINESS STRATEGY

e respects the situation is

ent company is the most influential in the decision to buy.)

es of predecessor models. The guilty features are well known, since the resulting

nic internal wastes which

after year, the accountants incorporate them into the budgets.

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UALITY , EARNINGS , AND STOCK MARKET PRICES

financial measures such as net income and share prices on the stock markets.

d total quality management practices achieved better employee relations, higher pr

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 LIFE CYCLE COSTING

sed in arriving at the optimum. The lag in application is not due to difficulty i

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 LIFE CYCLE COSTING

an aid to the team doing the analysis. Typical phases include: product research; p

ing, delay/flight interruptions, administrative, insurance, training, flight operati

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 LIFE CYCLE COSTING

enlarging the accounting system. The work involved can be reduced by concentrating

ance traveled and speed of travel. For aircraft, tire wear correlates mainly with

the basis of the analysis, equations are set up to arrive at the life cycle cost

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 LIFE CYCLE COSTING

products or for problems of limited scope.

on makes clear the need for providing the product researchers, developers, and des

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 LIFE CYCLE COSTING

Table shows life cycle costs for intermediate size cars driven 120,000 mi (192,000

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 LIFE CYCLE COSTING

n a change in grand strategy for maintenance, from the overhaul concept to the con

g low-cost maintenance contracts. Some manufacturers provide record-keeping aids t

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 LIFE CYCLE COSTING

that to apply the concept to government procurement was more difficult than for c

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 PERFECTIONISM

ll multiply and create health hazards. Nuclear reactors, underground mines, aircra

those design features which do not contribute to fitness for use and which there

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