How to Attack the Category Leader

Topics: Marketing, Pizza Hut, Attack Pages: 3 (725 words) Published: October 8, 2010
How to attack the Category Leader?
Attacking the leader is not easy ways. There have five categories to attack the leader such as Frontal Attack, Flank Attack, Encirclement Attack, Bypass Attack and Guerrilla Warfare. Among them we will present about the Frontal Attack which is directly attacking to the market leader. What is the Market Leader?

The market leader is controlling in its industry. It has substantial market share and often comprehensive distribution arrangements with retailers. It typically is the industry leader in developing new business models and new products. It tends to be on the cutting edge of new technologies and new production processes. What is the Market Challenger?

Market challenger is often the runner-up company that is fighting hard to increase its market share in an industry. The challenger in a hypothetical situation will control about 30 % share of the market. They can choose to attack the market leader, which comes with a much higher level of risk but potentially rewarding with the aim of taking over leadership in the marketplace. The fundamental principles involved are: * Assess the strength of the target competitor. Consider the amount of support that the target might muster from allies. * Choose only one target at a time.

* Find a weakness in the target’s position. Attack at this point. Consider how long it will take for the target to realign their resources so as to reinforce this weak spot. * Launch the attack on as narrow a front as possible. Whereas a defender must defend all their borders, an attacker has the advantage of being able to concentrate their forces at one place. * Launch the attack quickly, and then consolidate.

The frontal attack is a direct head-on attack. It is usually involves organizing all your resources including a substantial financial obligation. All parts of your company must be geared up for the attack from marketing to production. It usually involves intensive advertising attack...
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