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Extra info for MKTG: Principles of Marketing (8th Edition)
Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it. 8 New methods of service delivery: Medical expenses have been substantially lowered by the use of outpatient surgery and walk-in clinics. Online-only magazines deliver great savings, and even some print magazines are exploring ways to go online to save material and shipping costs. Product/Service Differentiation Competitive Advantage 2-6b Because cost competitive advantages are subject to continual erosion, product/service differentiation tends to provide a longer-lasting competitive advantage.
In the long run, market share and profitability are compatible goals. For example, Amazon lost hundreds of millions of dollars for its first few years as a company. The important goal early on, however, was market share—not profit. 4 Ansoff’s Strategic Opportunity Matrix 2-3a One method for developing alternatives is Ansoff’s strategic opportunity matrix (see Exhibit 1), which matches products with markets. Firms can explore these four options: 8 Market penetration: A firm using the market penetration alternative would try to increase market share among existing customers.
All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s). Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it. © Cengage Learning strategic business unit (SBU) a subgroup of a product development a Courtesy Daisy Brand LLC.