Paper Example on Importance of Quality to an Organization

Published: 2021-08-11
483 words
2 pages
5 min to read
Carnegie Mellon University
Type of paper: 
Course work
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The quality of a product or a service refers to the ability of the commodity to satisfy the requirements and surpass the consumers' expectations consistently. For a commodity to satisfy or exceed the customers expectations and requirements, it must, therefore, meet all the quality dimensions of the commodity. Although commodity represents both services and products, there are several differences between the two. Dimensions of product quality include performance; conformance to design specifications; reliability; ability to respond to all complaints; durability; special features; aesthetics such as feel, smell, taste, and appearances; and perceived quality. Dimensions of service quality include convenience, consistency, reliability, responsiveness, assurance, courtesy, time and tangibles. When a service or product meets the requirements of its dimensions, then, it is a quality service or product.

Currently, there are very many companies performing similar businesses. They produce similar commodities and share the same markets. As a result, competition between these companies arises. However, in the marketplace, clients will always favor the company whose products are of high quality. Companies that offer high-quality products have a high competitive advantage over its competitors. Good quality can decrease the liability costs, increase business productivity, promote the companys image giving it a good reputation, and justify premium prices, increase levels of customer satisfaction and thus increase customer loyalty and return business. Consequently, poor quality in commodities production would lead to legal liability, increased costs, reduced production and ultimately loss of market share. Good quality avoids a business from suffering from such consequences.

Recently, Samsung Electronics was hit by quality issues after the launch of its Samsung Galaxy Note 7. Following its great features, the phone had very high demand in the market. However, the company was unable to produce enough phones to satisfy the demand consistently. In addition to the problem, some customers raised complaints when they reported that the batteries of this smartphone had exploded. Due to these claims, Samsung had to suspend further sales to determine the cause of the product failure through quality checks and tests. These checks and tests further delayed the production as shipments were halted and delayed as the problem was being fixed. The battery problem disabled the technology company from satisfying the customers initial demands. The quality failure gave Apple Inc which is the major competitor some competitive advantage. Investors in the Samsung Company lost as the share prices declined during the crisis.

Samsung Electronics has since rectified the battery problem and reduced the downside risks for the stock by launching different brands of smartphones with special features such as the foldable screens. The company has also revealed new wristwatch devices that support mobile payment systems. Also, the company is working to grab a bigger market share by ensuring that its smartwatches gears are compatible with iPhones a move that would appeal to a larger market.


Samsung reports on Galaxy Note 7 fires. (2017). C&EN Global Enterprise, 95(5), 11-11. doi:10.1021/cen-09505-notw9

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