There are three levels of a product that require marketers to take into consideration when making strategy decisions. Each level adds more consumer value.
LEVEL 1 -- Core customer value. This level answers the question: What is the buying really buying? It addresses the consumer's problem for which this product meets that need. For example, a woman looking for lipstick is really looking for lip beauty.
LEVEL 2 -- Actual product. This is the one we are most familiar with, it is the description of the product including its features, design, quality level, brand name and packaging. Carrying forth our lipstick example, this might be Revlon, Everlast lipstick, 20 different shades, easy to hold stick, platinum futuristic looking package, unique patented formula that holds color for at least 20 hours, both glossy and mat finishes. (I don't wear lipstick so this is made up).
LEVEL 3 -- Augmented product. Additional customer features and benefits and services. For lipstick it might be a money back guarantee, perhaps an optional carrying case with mirror, a website for user comments, an 800 number for questions, etc.
Your task, take a product you use everyday and run it through the three levels. Then discuss how the three levels might differ if the same product were to be marketed in a lesser developed country. What is the same, what is different? What implications does this have for the marketer?