Group 5: Creating Competitive Advantage

Question 1

Steps in analyzing competitors

Answer 1

-identifying competitors
-assessing competitors
-selecting competitors to attack and avoid

Question 2

Types of Competitors

Answer 2

Direct Competitors
Indirect Competitors
Potential Competitors
Future Competitors
Replacement Competitors

Question 3

Competitors that offer the same product/services to your customers

Answer 3

Direct competitors

Question 4

Businesses that are in the same category, but they sell
different products and services than you or target a different market.

Answer 4

Indirect competitors

Question 5

Competitors who do the same thing that you and
target the same kinds of customers but aren’t selling in your market area and
aren’t likely to do so.

Answer 5

Potential competitors

Question 6

Competitors that are ready
and likely to enter your market.

Answer 6

Future competitors

Question 7

Competitors who provide an alternative to the services
that your product is trying to solve.

Answer 7

replacement competitors

Question 8

Refers to competitors within the same industry.

Answer 8

INDUSTRY POINT OF VIEW

Question 9

Refers competitors as companies that are trying to satisfy the same
customer need or build relationships with the same customer group.

Answer 9

MARKET POINT OF VIEW

Question 10

Steps in assessing competitors

Answer 10

• Determining competitors’ objectives
• Identifying competitors’ strategies
• Assessing competitors’
  strengths and weaknesses
• Estimating competitors’ reactions

Question 11

Approaches to marketing strategy

Answer 11

Entrepreneurial Marketing
Formulated marketing
Intrapreneurial marketing

Question 12

The proactive identification and exploitation of
opportunities for acquiring and retaining profitable customers through innovative approaches to risk
management, resource leveraging, and value creation.

Answer 12

Entrepreneurial Marketing

Question 13

The development of formal marketing
strategies. This involves considering advertising, employing dozens of salespeople,
and carrying on sophisticated marketing research that relies on self analysis and
consumer monitoring.

Answer 13

Formulated marketing

Question 14

It introduces the concept of Intrapreneurship
pertaining to a system that allows an employee to act like an entrepreneur within
a company or other organization.

Answer 14

Intrapreneurial marketing

Question 15

BASIC COMPETITIVE STRATEGIES

Answer 15

Cost leadership
Differentiation strategy
Focus strategy

Question 16

A competitive strategy wherein the firm works hard to
achieve the lowest production and distribution costs and can therefore ask the
lowest prices. Low costs let the company price lower than its competitors and win
a large market share.

Answer 16

Cost leadership strategy

Question 17

A strategy wherein the company concentrates on
creating a highly differentiated product line and marketing program so that it
comes across as the class leader in the industry.

Answer 17

Differentiation strategy

Question 18

A strategy where the company focuses its effort on serving a few
market segments well rather than going after the whole market.

Answer 18

Focus strategy

Question 19

Two marketing consultants, _________, offer a more
customer-centered classification of competitive marketing strategies. They suggest that
companies gain leadership positions by delivering superior value to their customers.

Answer 19

Michael Treacy and Fred Wiersema

Question 20

Marketing strategies that focuses on delivering
superior customer value to gain competitive advantage.

Answer 20

Value disciplines

Question 21

Value disciplines:

Answer 21

Operational excellence
Customer intimacy
Product leadership

Question 22

Discipline that focuses on providing customers
with reliable products or services at competitive prices and delivered with minimal
difficulty or inconvenience.

Answer 22

Operational excellence

Question 23

A strategy that provides superior value by precisely segmenting its
markets and tailoring its products or services to exactly match the needs of targeted
customers. It specializes in satisfying unique customer needs through a close relationship
with and intimate knowledge of the customer.

Answer 23

Customer intimacy

Question 24

A strategy that provides superior value by offering customers
leading-edge products and services that consistently enhance the customer’s
use or application of the product.

Answer 24

Product leadership

Question 25

A marketing strategy that refers to how a marketing team can differentiate a company from its competitors.

Answer 25

Competitive positioning

Question 26

Brands that are first-to-market

Answer 26

Pioneer brands

Question 27

The leader of the market where the brand exists

Answer 27

Market leader

Question 28

A Competitor that wants to aggressively steal market share from the market leader, and invests time and money into finding differentiators and creating marketing programs that enable the brand to exploit opportunities whenever they arise.

Answer 28

Market Challenger

Question 29

Market Challenger Strategies

Answer 29

Frontal Attack Flanking Attack Encirclement Attack Bypass Attack Guerrilla warfare

Question 30

The challenger attempts to match the market leader’s efforts across the full range of products, attacking the leader’s strengths rather than its weaknesses.

Answer 30

Frontal Attack

Question 31

The market challenger concentrates on the leader’s weaknesses rather than its strengths.

Answer 31

Flanking Attack

Question 32

Involves attacking from several directions at once. This strategy requires the market challenger to have more resources than the defender, so it usually only works well when entering a foreign market.

Answer 32

Encirclement Attack

Question 33

The market challenger attempts to bypass the market leader entirely and targets new markets.This might mean entering foreign markets that the competitor has not yet targeted, or it might mean using new technologies to approach new customer groups.

Answer 33

Bypass Attack

Question 34

A competitor that effectively rides on the market leader’s coattails while positioning its brand just far enough away from the market leader to be different.

Answer 34

Market Follower

Question 35

Types of market follower

Answer 35

Counterfeiter Cloner Imitator Adaptor

Question 36

Followers that manufacture a slightly different copy of the original product and sell it in the market as original. It usually falls under the category of stealing and thieving and happens in the black market.

Answer 36

Counterfeiter

Question 37

Followers create the same, but slightly subtle and different product. However, it also means that you take advantage of the top brands and offering the same product as theirs.

Answer 37

Cloner

Question 38

They take advantage of the marketing and branding work of the market leader and offer the same product as theirs at a lower price.

Answer 38

Imitator

Question 39

Follows the strategy of white-collared market followers, adopting the best quality features of each others’ brands and bring a new style to the market.

Answer 39

Adaptor

Question 40

Typically smaller players and smaller companies that can’t effectively compete against the market leader but can succeed in a specific area and with a specific audience by focusing on a specific differentiator aligned with the niche.

Answer 40

Market Nicher