BUS620 Managerial Marketing
July 9, 2012
This paper will summarize the generic marketing activities of a retail establishment with the purposes of assessing their market and segmentation strategies. After the assessment a strategy will be developed to improve the marketing of the product. The example used for the analysis will be a company located in the Philippines called CDR King. CDR King provides the latest technologies in computer related products and accessories at affordable prices by bypassing middlemen, bringing the product direct to the customer which greatly reduces cost. Generic Strategies
CDR King is a retail chain located exclusively in the Philippines who initially sold media products but has now increased their product line becoming a full blown technology provider. CDR King is now selling the latest computer related products and accessories with over 100 branches across the Philippines. According to (cdrking.com) the company’s vision “is to provide every Filipino with the latest technology at an affordable price” and the mission is “to be the No. 1 top media & technology provider in the Philippines that could provide the latest technology at an affordable price without extra cost and also to be able to deliver up-to-date technologies to the Philippine market with the latest computer related products as well as computer accessories." CDR King Marketing Strategy
CDR King’s generic marketing strategy places an emphasis on low cost and affordable products. The cost leadership strategy involves a company winning market share by focusing on cost-conscious or price-sensitive customers. This is accomplished by having the lowest prices in the target market, or the lowest price to value ratio (Muller and Walker 2010). For this approach to be successful the company must have lower operating cost than its competitors. CDR King accomplishes this by: • Not...