The value assigned by the end user to a loudspeaker, headphone, or any other audio device determines his purchase decision and the success of the product in the market. The paper investigates the relationship between end-user value, performance characteristics, cost structure, and the particular design. A model based on modified benefit-cost ratio is presented that describes the impact (sensitivity) of the performance characteristics on the end-user value. The performance sensitivity is a central and powerful term in audio engineering because it links physical, perceptual, and economical quantities. This new concept is applied to all phases of the product life and addresses open questions such as defining the optimum target performance, selecting design choices, increasing the yield rate in production, and ensuring reliability and quality in the final application.
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