MKTG1001 Lecture Notes - Lecture 3: Institute For Operations Research And The Management Sciences, Marketing Mix, Swot Analysis
Document Summary
Michael porter & 3 generic strategies: overall cost leadership (become cheaper) A low-cost business model become a leader when it comes to costs. Able to offer cheap prices to consumers with good sales. Only suitable to big companies which can afford: differentiation (become better) Most businesses use & follow: focus. Just focus on one small segments decide to pursue cost leadership or differentiation (mostly differentiation) Product differentiation competing at the individual product level. Process of adding meaningful & valued differences to distinguish product from competition. Strong brand name most preferred brand in a particular category / segment. Gaining speed being the 1st one to offer something provide an edge. E. g. hotels mostly differentiate on the basis of service (4-star, 5-star), location, people e. g. virgin. Successfully extended & multiplied itself in various categories. Being the first to offer a product in a marketplace long term market winner. Create significant innovations turn old product into a new one.
