Quality is a VERY important in Businesses. This post will tell you everything you need to know about Quality in Business Studies A Level.
Let's start of which two definitions, Quality Assurance and Quality Control
Quality Assurance is making sure you do the things right while you're doing it.
Quality Control is making sure your doing things right after you have doing it.
DO NOT gets these muddled up, just remember, assurance is while you're doing it, control is after you have done it.
The key to a successful Business is to generally do a bit of both assurance and control.
Quality ManagementQuality Management means providing what the customer wants at the right time, with the right level of quality and consistency, and therefore yielding high customer satisfaction.
- Satisfying (preferably beating) customer expectations.
- Applies to services as well as products. e.g. an aeroplane flight is a service that has different levels of quality.
- Involves the whole business process, not just the manufacturing of the product.
A Reputation For Good Quality Brings Marketing Advantages. A Good Quality Product Will..
- Generate a high level of repeat purchases and therefore a longer product life cycle.
- Allow brand building and cross-marketing.
- Allow a price premium (quality adds value - it generates additional profit).
- Makes products easier to place (retailers are more likely to stock products with a good reputation).
Consequences of Bad QualityMarketing Business Cost
- Loss of Sales - Scrapping of unsuitable goods.
- Loss of Reputation - Reworking of unsatisfactory goods
- May have to price discount - Cost of labour and materials increase
- May impact on other products - Handling complaints/warranty claims from customers
in range - Loss of consumers that did repeat purchases
- Retailers may be unwilling to