BU352 Lecture Notes - Lecture 2: Competitive Advantage, Profit Margin, Switching Barriers
Document Summary
A related marketing mix the four p"s. The bases upon which the firm plans to build a sustainable competitive advantages: tesla"s target market is people who are into technology and sustainability. Their product was luxurious with many features and a high price which solidified that target market. They started with high end market but are expanding to the middle or lower class market with the model 3. Developing customer value: customer excellence, operational excellence, product excellence, locational excellence. Product excellence: apples history is a very innovative as they have constantly been coming up with new products and good ideas, high perceived value, effective branding and positioning. Operational excellence: established suppliers, which helps apple to keep high profit margin, high margins, have super high margins more than any other manufacturer, research and development. Locational excellence: an example of apples locational excellence is the location and design of their stores. Step 3: identify opportunities, segmentation, targeting, positioning.
