ABSTRACT
This chapter begins with an overview of the theoretical basis of price and non-price competition from which it is concluded that in making a purchase decision, the buyer takes account of both sets of factors. Price and non-price factors are in their own rights genuinely competitive, each distinct from the other, and each capable of occurring either along with or without the other. The technical aspect of non-price factors is associated with: performance in operation, reliability, durability, flexibility, ease of use, ease of manufacture, safety in use, aesthetic appeals, ergonomics, and graphics, all of which are functions of design. The chapter describes that design is increasingly becoming the primary focus for buying decisions rather than price. Consequently, most products are being distinguished from each other through the process of design, because it appears to satisfy the increasing variety of customer/user requirements more than price.
