MGMA01H3 Chapter 18: Chapter 18 Marketing.docx
Document Summary
Competitive advantage: an advantage over competitors gained by offering consumers greater value than competitors do. Competitor analysis: the process of identifying key competitor; assessing their objectives, strategies, strengths and weaknesses, and reaction patterns; and selecting which competitors to attack or avoid. Competitive marketing strategies: strategies that strongly position the company against competitors and give the company the strongest possible strategic advantage. Competitors can be identified as other organizations who are making the same product or class of products. Companies need to be careful with competitor myopia; ignoring potential competitors rather than current competitors. Assessing competitors" strengths and weaknesses: as a first step, companies can gather data on each competitor"s goals, strategies, and performance over the past few years. Estimating competitors" reactions: a company"s objectives, strategies, and strengths and weaknesses go a long way toward explaining its likely actions. Close or distant competitors: close competitors those that resemble them most, too aggressive competition can lead to alliances with other rivals.
