What is a product mix? What are the four dimensions of a product mix?
Product mix, also known as product assortment, refers to the total number of product lines that a company offers to its customers.
For example, a small company may sell multiple lines of products. Sometimes, these product lines are fairly similar, such as dish washing liquid and bar soap, which are used for cleaning and use similar technologies.
Other times, the product lines are vastly different, such as diapers and razors. The four dimensions to a company's product mix include width, length, depth and consistency.
Small companies usually start out with a product mix limited in width, depth and length; and have a high level of consistency.
However, over time, the company may want to differentiate products or acquire new ones to enter new markets.
A company can also sell the existing products to new markets by coming up with new uses for their product.