COMMERCE 2MA3 Chapter Notes - Chapter 2: Competitive Advantage, Customer Relationship Management, Operational Excellence

• School: McMaster University
• Department: Commerce
• Course: COMMERCE 2MA3
• Professor: Bharat L Sud

Document Summary

Marketing strategy: identifies a firm"s target markets, a related marketing mix the four ps, and the bases upon which the firm plans to build a sustainable competitive advantage. Sustainable competitive advantage: something the firm can persistently do better than its competitors that is not easily copied and thus can be maintained over a long period of time. Establishing a sustainable competitive advantage is key to long-term financial performance. Sometimes the methods a firm uses to maintain a sustainable competitive advantage help attract and maintain loyal customers. More firms realize the value for achieving customer excellence through focusing their strategy on retaining their loyal customers. Loyal customers are reluctant to patronize competitive firms. Viewing customers with a lifetime value perspective, rather than on a transaction-by- transaction basis is key to modern customer retention program. Another method of achieving customer loyalty is to create an emotional attachment through loyalty programs. Loyalty programs stem from customer relationship management (crm)