BOWMAN’S STRATEGIC CLOCK: POSITIONS 6-8

Question 1

What is Bowman’s strategic clock

Answer 1

A model that considers the different strategic positions businesses could use to compete by assessing perceived value and selling price.

Question 2

What is position 6

Answer 2

Increased price and standard product

Increased price but a standard product: Perhaps after a competitor has entered a niche market, or mass market products have differentiated - Because competitors have also been able to differentiate, your product has become standard, but you haven’t yet caught onto that - So you aren’t aware that consumers will only pass a standard price (will have to cut the price, or improve the quality of the product, if the business wants to continue selling).

Question 3

What is position 7

Answer 3

Monopoly Pricing

Monopoly pricing: Only sustainable if there are high barriers to entry. High profit margins possible. No competition (or extremely low).

Question 4

What is position 8

Answer 4

Low value/ standard price

Consumers don’t value the products that we are selling at a standard price. So you’ll need to cut the price of the product in order to survive. - Not many businesses follow this strategy.