Question

If you are a competing credit card provider, how do you respond to the Chase Sapphire Reserve?

How should Chase position itself to be ready for these competitive responses?

Answer 1

this assessment will provide the ideas of response to the chase sapphire reserve as competing credit card provider and ways how chase can position itself to be ready for such competitive answers from its rivals:

If a person is a competing credit card provider, It would respond to the chase sapphire reserve by introducing a new credit card that would provide some similar benefits to the consumer after doing some value addition in the product. It shows some creativity to differentiate the product from any other competitor.

It will also innovate and introduce a new credit card in the market, which would have low annual fees and better benefits.

Chase should position itself to be ready for this competitive response by signing a contract with their suppliers to not contract with any other company, thus making its supply line exclusive to avoid any competitor.

Moreover, the company can also start moving towards achieving an economic scale to reduce their cost and further reduce their prices to the extent that no other competitor can compete with them, reduce their expenses and provide the benefits the companies are trying to deliver to its customers.