How can the product mix help the company?

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A product mix can help a company to access different customer bases by offering a wide range of styles, sizes and price ranges.  For instance, very often a company, like a car company makes a line of vehicles ranging from high-end, like Lexus, to satisfy customers who are high income...

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A product mix can help a company to access different customer bases by offering a wide range of styles, sizes and price ranges.  For instance, very often a company, like a car company makes a line of vehicles ranging from high-end, like Lexus, to satisfy customers who are high income earners and want to purchase luxury vehicles, as well as manufacturing a lower end product line, like Toyota to appeal to young people and lower income customers. However, sometimes the customers change and grow, so a company needs to be able to satisfy a wide range of customer tastes and price ranges. 

Students for instance might have a price range that allows for one or two models in the lower-end product line. But once they graduate, and get a job, they may want to purchase a more expensive car.  Therefore, to keep that customer it is beneficial for the company to have a diversified product mix to satisfy changing customer needs. 

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