A company installs sensors in a product and sells maintenance services using usage data. This is an example of which advanced change?

Correct answer: Shift from goods to outcome-based service model

The direct answer is option A: a shift from goods to an outcome-based service model. Traditionally, a company sells a physical product and the sale may largely end there. In this example, sensors are installed in the product, usage data is collected, and that information is used to provide and sell maintenance. The company is therefore offering continuing value or an outcome—such as reliable operation and fewer breakdowns—rather than earning only from the initial sale of the object. This is a connected-product or product-service approach. Option A is correct because it describes the movement from simply selling goods toward earning through a service linked to the product’s performance. Option B, only cash sale, is wrong because the example includes data-based maintenance after the sale, not merely a payment method. Option C, employee wage reduction, has nothing to do with sensors, customer use data, or maintenance revenue. Option D, seasonal shop decoration, is unrelated to the product’s technology and service model. The sensor can help predict wear, schedule timely repairs, and improve customer support, although the exact service arrangement depends on the business. The exam memory cue is: a connected product plus data-supported after-sales service usually indicates a product-to-service or outcome-based business model.