What are the pitfalls to be avoided in pursuing a broad differentiation strategy?

What will be an ideal response?


Following are the pitfalls in pursuing a broad differentiation strategy:
• focusing on product or service attributes that are easily and quickly copied 
• buyers seeing little value in the unique attributes of a company's product 
• overspending on efforts to differentiate the company's product offering, thus eroding profitability 
• offering only trivial improvements in quality, service, or performance features vis-à-vis rivals' products 
• over-differentiating so that product quality, features, or service levels exceed the needs of most buyers 
• charging too high a price premium

Business

You might also like to view...

________ is the process by which we select, organize, and interpret information inputs to create a meaningful picture of the world

A) Consumption B) Perception C) Acculturation D) Assimilation E) Cognitive dissonance

Business

A borrower of money repayable on demand, must repay the loan immediately after a demand has been made

Indicate whether the statement is true or false

Business

When one company owns more than 50% of another company's voting stock and has control over the investee company, the investee is called the ________.

What will be an ideal response?

Business

A store has determined that the weekly sales of a product is related to the number of customers who visit the store and the square feet of shelf space, x, according to the following equation: -20x2 - 10C2 + 40Cx + 120x - 200C + 600

C represents the hundreds of customers who visit their store. If a store averages 200 customers per week, how many square feet of shelf space is required to maximize sales?

Business