Keegan Globalmktg6e 02
The matrix shows that Market Development is defined as taking existing products into new markets. Wal-Mart’s expansion into Guatemala and other
Central American countries is an example of this strategy.
Diversification strategy is used by LG to enter the American appliance market or Japan’s Kirin holdings which bought Australia’s leading milk producer.
Diversification id developing new products for new markets. South Korea’s
LG Electronics has created new products for other American home appliance market. Innovations like a $3,000 refrigerator with a built-in flat panel LVD
TV have been instrumental in Home Depot’s decision to carry the appliance product line.
©2011 Pearson Education, Inc. publishing as Prentice Hall
Companies that use price as a competitive weapon may use global sourcing to access cheap raw materials or low-wage labor. Companies can seek to improve process efficiencies or gain economies of scale with high production volumes.
Marketers may be able to reduce non-monetary costs by decreasing the time and effort customers expend to learn about or seek out the product.
A market is defined as people and organizations that are both able and willing to buy. A successful product or brand must be of acceptable quality and consistent with buyer behavior, expectations, and preferences. If a company is able to offer a combination of superior product, distribution or promotion benefits and lower price than competitors, it should enjoy a competitive advantage. Japanese auto makers made significant gains in the American market in the by creating a superior value proposition. They offered cars
©2011 Pearson
Education,
Inc.1980s publishing as Prentice
Hall
with higher quality and lower prices than those made by American car
When a company succeeds in creating more value for customers than its competitors, that company is said to enjoy competitive advantage. CA is measured relative to rivals in an industry. A local laundromat is in a local industry and competes
Central American countries is an example of this strategy.
Diversification strategy is used by LG to enter the American appliance market or Japan’s Kirin holdings which bought Australia’s leading milk producer.
Diversification id developing new products for new markets. South Korea’s
LG Electronics has created new products for other American home appliance market. Innovations like a $3,000 refrigerator with a built-in flat panel LVD
TV have been instrumental in Home Depot’s decision to carry the appliance product line.
©2011 Pearson Education, Inc. publishing as Prentice Hall
Companies that use price as a competitive weapon may use global sourcing to access cheap raw materials or low-wage labor. Companies can seek to improve process efficiencies or gain economies of scale with high production volumes.
Marketers may be able to reduce non-monetary costs by decreasing the time and effort customers expend to learn about or seek out the product.
A market is defined as people and organizations that are both able and willing to buy. A successful product or brand must be of acceptable quality and consistent with buyer behavior, expectations, and preferences. If a company is able to offer a combination of superior product, distribution or promotion benefits and lower price than competitors, it should enjoy a competitive advantage. Japanese auto makers made significant gains in the American market in the by creating a superior value proposition. They offered cars
©2011 Pearson
Education,
Inc.1980s publishing as Prentice
Hall
with higher quality and lower prices than those made by American car
When a company succeeds in creating more value for customers than its competitors, that company is said to enjoy competitive advantage. CA is measured relative to rivals in an industry. A local laundromat is in a local industry and competes