List five of the ten product-based legitimacy indicators outlined in the text and provide an example for each.

Question

What will be an ideal response?

Answer 1

Many small business owners think that the most important source of legitimacy comes from an understanding of the product or service offered. Fortunately, most small businesses offer products or services with which customers are already familiar. The goal then becomes making sure the customer knows about the details of the product, its high quality and environmental friendliness, its competitive advantage, how to use it, and has the assurance that it will be backed up by the firm.

• There are many forms of product-based legitimacy. Customer assurance is proven by a more legitimate firm through publicly stated guarantees, bonding, try-before-you-buy policies, return policies, etc. A less legitimate firm will not state these things.
• No experiential supports are offered in a less legitimate firm, while a more legitimate form offers documentation and/or a demonstration of the product or service.
• A less legitimate firm offers no customer service while a more legitimate firm provides live or even online customer service.
• When it comes to quality standards, a less legitimate firm fails to meet industry standards for quality while a more legitimate firm meets or exceeds industry standards for quality.
• A less legitimate firm shows no concern for the environment or natural resources while a more legitimate firm uses recyclable materials, demonstrates green design, or has a low carbon footprint.
• Less legitimate firms offer no certification or is self-certified. A more legitimate firm may have an ISO certification.
• More legitimate firms often present testimonials from customers satisfied with the products while less legitimate firms offer no information from users.
• Less legitimate firms own no intellectual property while more legitimate firms hold trademarks, service marks, patents or copyrights.
• Less legitimate firm use common technologies or services while more legitimate firms set technological or service standards, often adopted by competitors.
Less legitimate firms have little or no attention in print or electronic media while more legitimate firms often have interviews, articles, placements, or columns in print or electronic media about their product.