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6 June, 10:22

What specific marketing insights would you use to understand competitive differentiation for pizza chains, based on the Kotler and Keller text?

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  1. 6 June, 11:50
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    Base on Kotler and Keller text, specific marketing insights to be used to understand competitive differentiation for pizza chains are:

    Expansion of the total market

    Expansion of market share

    Defending Market Share

    Explanation:

    Expansion of the Total Market

    The dominant company will get the most gains and benefits through: finding new consumers, promoting new consumers by convincing to eat more pizza

    Defend Market Share

    Defending of market share can be achieved through,

    Continuous innovation (such as: low pizza price, developing new delicacy by adjusting the recipe and customer services, distribution effectiveness.),

    Increases in competitive strength and value to customer

    Defensive strategies which include:

    Position Defence - building on superior (and impregnable) brand power.

    Flank Defence -

    Preemptive Defence - anticipating and acting before the competitor.

    Counter offensive Defences -

    Mobile Defence - stretching over new territories, through market broadness (focus shift from product to generic need) and market diversification into unrelated industries.

    Contraction Defence - giving up weaker territories and reassigning resources to stronger territories.

    Expand Market Share

    Profits made on pizza chain can not be necessarily increased by the expansion of market share.

    The following my be avoided:

    Possibility of provoking anti-trust action of economic costs involved.

    Wrong marketing-mix strategy (e. g. lowering prices too much)
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