3.8.2 - strategic positioning Flashcards
1
Q
what benefits can you get from focussing on costs?
A
- lower unit costs
- economies of scale
- lean production
- access to cheap labour
2
Q
what benefits can you get from focussing on differentiation?
A
- physical brand image
- product design
- quality
- ability to offer customer service
3
Q
what is cost leadership?
A
when a business prioritises reducing the cost of production to offer the lowest priced products
4
Q
what is cost focus?
A
when businesses attempt to attract customers based on price
5
Q
what is differentiation leadership?
A
focuses in providing perks that add value for consumers, while higher prices are a sort of “make up” for their higher costs
6
Q
what is differentiation focus?
A
attempting to outperform rivals by offering a product that is perceived by consumers to be superior to that of competitors even though its price is higher
7
Q
what are SMART objectives?
A
- specific
- measurable
- achievable
- relevant
- time bound
