Sustainable competitive advantage Flashcards
1
Q
Cluster analysis
A
Resource advantage- theres no point in being good at things if theres no demand for your product: The good starting point to statistically segment the market. Identify and class large sets of heterogeneous into smaller homogenous groups of customers or companies.
2
Q
Cluster analysis helps us understand?
A
Preference commonality and how to cater to the different groups needs
- what needs they have
- what product attributes they would like
- how market position can be improved
3
Q
Cluster analysis variables
A
- Bases: foundation for segmenting (e.g. pricing, product features
- Descriptors: profile and eventually target the derived segments (demographic and geographic)
4
Q
Cluster analysis steps
A
- Segmentation: identifying subsamples of customers that are homogenous in their base
- Describing: use descriptor variables to explain how the subsamples differ and can therefore be used to form efficient targeting strategies
5
Q
SCA characterisics
A
- Customers care
- you do it better than others
- Its hard to duplicate
Non-subsitutable
Inimitable
Rare
Valuable
6
Q
Customer equity
A
Customers are financial assets and should be treated as spending is investments not costs