Final answer:
Products and services aim to satisfy both functional needs, such as basic requirements for survival, and psychological needs, which contribute to happiness and personal fulfillment. This reflects the combined fulfillment of physiological necessities and higher-order psychological wants.
Step-by-step explanation:
The vast majority of products and services are designed to satisfy a combination of needs that consumers have. These can be categorized into functional needs, which are related to the basic functions of the product or service, and psychological needs, which are related to the emotional and psychological benefits a consumer may seek.
According to Maslow's hierarchy of needs, humans first need to satisfy basic physiological needs such as food, water, and shelter before moving up the pyramid to satisfy higher-level psychological needs like esteem and self-actualization. The fulfillment of these needs leads to health and well-being.
Culturally, as proposed by Malinowski and others, our basic needs determine the derived needs that our culture helps to satisfy, such as the need to organize work, distribute resources, establish family structures, and address integrative needs such as religion and law, which provide purpose in life. As such, in modern consumer culture, it can be said that most products and services are likely designed to satisfy both functional and psychological needs. These fulfill not only the basic requirements for survival but also contribute to the overall happiness and satisfaction of individuals.