Answer / karuna

Product based company:
The company which will have their own products .These products are used by the other companies by paying money to this companies.
As sridhar ganeshan suggested Microsoft is a product based company


Service Based Company:
These companies depend on the clients.Means that,they will develop a product or an application for the other companies. Ex: TCS

Answer / srini

Product based companies need to have a much longer term
orientation.

While service based companies need to map the existing
business rules of a client, product companies need to
reflect emerging business rules across the domain.

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