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Flashcards in Strategies for Growth Markets Deck (7)
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1
Q

Share Leader must accomplish these tasks (2)

A
  1. Retain repeat or replacement business

2. Continue to capture major portion of sales from new customers to the market

2
Q

Challenger strategic objective

A

build share faster than market growth rate by stealing customers, capturing new customers.

3
Q

Rapidly growing markets attractive because (4)

A
  1. easier to gain share when market growing
    1. share gains worth more in a growth than a mature market
    2. price competition less intense
    3. if market grows big, lots of room for winners
4
Q

Share gains work more in growth market? Depends on (4)

A
  1. Existence of positive network effects
  2. Future changes in technology or other key success factors
  3. Future competitive structure of the industry
  4. Future fragmentation of the market
5
Q

Share Maintenance objectives (2)

A
  1. Retain current customers

2. Stimulate selective demand among later adopters

6
Q

Marketing Strategies for Share Maintenance (5)

A
  1. Fortress strategy - Adidas in soccer
    1. Flanker strategy - Toyota introducing Lexus and Scion
    2. Confrontation strategy
    3. Market expansion strategy
    4. Contraction strategy
7
Q

Market Strategies for Share Growth (5)

A
  1. Frontal Attack - Netflix vs Blockbuster
    1. Leapfrog Strategy - iPhone
    2. Flanking Attack - early Japanese auto in low cost market
    3. Encirclement Attack - Schweppes cream soda, root beer, tonic (anything but coke)
    4. Guerrilla Attack - Groupon partnerships