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Question 1

strategy =

Answer 1

overarching plan to achieve objective

Question 2

tactic =

Answer 2

actions taken to support strategy

Question 3

how are strategy and tactics complementary?

Answer 3

strategies give tactics purpose and direction

tactics turn strategies in actions and results

Question 4

what two things does positioning consist of and give their definition

Answer 4

segmentation - defines what group of consumers you are targeting and their need
differentiation - defines the value you are delivering to them and your uniqueness

Question 5

a good positioning statement identifies 4 things:

Answer 5

1. customer segment
2. their unmet need
3. what makes you different
4. how you meet their need

Question 6

entrepreneurial vs traditional approach in segmentation:

Answer 6

segmenting and targeting occur in tandem vs segmenting whole market

Question 7

4 bases for segmentation and examples:

Answer 7

1. geographic - nations, states, regions
2. demographic - age, gender, race, income
3. psychographic - lifestyle, personality
4. behavioral - product experience

Question 8

why segmentation? 3 reasons

Answer 8

1. satisfying needs ‘on average’ satisfies nobody’s needs
2. increases efficiency of marketing and responsiveness of customers
3. products can be sold differently to different people

Question 9

2 approaches to differentiation and a describtion:

Answer 9

1. vertical - competing directly (more/smaller/faster/cheaper)
2. horizontal - key to disrupting an industry (creating new value)

Question 10

describe upstream and downstream activities

Answer 10

upstream - what else can we make and sell? - sourcing, production, logistics, innovation
downstream - what else can we do for our customers? - shaping customer perception, innovation, building accumulative advantage

Question 11

describe line extension and brand extension

Answer 11

line - expansion of existing product line (coca cola creating cherry coke)
brand - expansion of brand into new territories/markets (dyson vacuum cleaners offering desk lamps)

Question 12

what 3 decisions can affect who you are competing to?

Answer 12

1. how you position your offering in mind of customer
2. how you place yourself with regard to your competitive set
3. your pricing

Question 13

positioning refers to how you differentiate yourself in the mind of your prospect. what are 5 important elements about the mind to remember:

Answer 13

minds are; limited, hate confusion, don’t change, insecure, can lose focus

Question 14

commoditization

Answer 14

a process in which a product is deemed identical to the same class of offering presented by rival company.

Question 15

30 elements of value can be categorised into 4 categories

Answer 15

1. functional
2. emotional
3. life changing
4. social impact
   companies doing well on multiple elements have more loyal customers and grow revenue at a faster rate

Question 16

B2B elements of value have identified 40 fundamental elements falling into 5 categories:

Answer 16

1. table stakes
2. functional
3. ease of doing business
4. individual
5. inspirational

Question 17

examples of what can become part of the extended self

Answer 17

body parts, money, pets, other people, collections, objects