Chapter 18. Competitive Advantage

Question 1

Entrepreneurial Marketing

Answer 1

The use of entrepreneurial wit, visualization, and designing flexible strategies to gain attention to their product.

Question 2

Formulated Marketing

Answer 2

Companies develop formal marketing strategies and adhere to them closely.

Question 3

Intrapreneurial Marketing

Answer 3

Recapturing the spirit and action of Entrepreneurial marketing stage.

Question 4

Whare are Michael Porter’s Value Chain Strategies?

Answer 4

Cost Advantage - achieve the lowest production and distribution costs.
Differentiation - concentrate on highly differentiated product line and marketing program to come across as a class leader.
Niche/Focus - focus effort on serving a few market segments well rather than the whole market.

Question 5

Draw Michael Porter’s Value Chain model

Answer 5

Hint: Think of Primary and Support activities

Question 6

What are the Competitive Positions in a market?

Answer 6

Market Leader
Market Challenger
Market Follower
Market Nicher

Question 7

Describe the strategy of a Market Leader

Answer 7

Expand total market
Protect market share
Expand market share

Question 8

Describe the strategy of a Market Challenger

Answer 8

Full frontal attack - attack strengths of competitors rather than weakness.
Indirect attack - attack competitor weakness or gap in the market.

Question 9

Describe the strategy of a Market Follower

Answer 9

Follow closely, follow at a distance - find a balance between winning customers and avoiding retaliation from the market leader.

Question 10

Describe the strategy of the Market Nicher

Answer 10

By customer market, quality, price, service or multiple niching

Question 11

Draw the Evolving Company Orientations table

Answer 11

Hint:
Competitor Centered vs Customer Centered (Yes/No)