Question

Which of the following describes the value of a product?

- the amount of money that consumers are willing to pay for the product
- the time and materials that it costs a manufacturer to make the product
- the difference between the cost of making the product and what consumers pay for the product
- the sum of the total cost of making the product and what consumers pay for the product​

Answer 1

- the amount of money that consumers are willing to pay for the product

Step-by-step explanation:

A product's value can be described as the satisfaction it gives to consumers. A product's value is the benefit it generates to the final consumer. Customers are always willing to pay more for a product that offers higher benefits. The demand for goods and services that offer less satisfaction to customers is always low, which makes them have low market prices.

The value of a product can be expressed as the amount of money that customers are willing to pay to obtain it.