Standardization and Grading:
The common explanation of standardization is the knack to use standard marketing worldwide. In other words, it’s the aptitude for a company or business to use the same marketing policy from one country to the next, and across diverse cultures.
- Standardization refers to producing goods of predetermined specifications, which helps in achieving uniformity and consistency in the output.
- Standardization ensures the buyers that goods conform to the predetermined standards of quality, price and packaging and reduces the need for inspection, testing and evaluation of the products.
Grading is the procedure of categorization of products into dissimilar groups, on the source of some of its significant character such as quality, size, etc. Products of diverse qualities should be divided into groups or lots and related quality products are put into a grade.
- Grading is mainly needed for products which are not produced according to predetermined specifications, such as in the case of farming products, say wheat, oranges, etc.
- Grading ensures that goods belong to a exacting feature and helps in realizing higher prices for high quality output.