Question

Consider these three (3) brands: IKEA; Samsung; and TAG Heuer. What bases do these brands use for differentiation? What strategies do they use to position themselves in their respective markets?

Answer 1

Answer:-

The 3 brands :

1. IKEA – is a furniture, home appliance & accessories providing brand
2. Samsung – Is a mobile brand
3. Tag Heuer – is a swiss watch brand

The bases of differentiation for these brands is :

• Product differentiation : these brands differentiate their products from their competitors on the bases of their functioning, features, efficiency etc. they try to make their products better than their competitors through product differentiation so than they can attract more customers for their products
• Service differentiation: it include delivery of the product, customer care services etc. through which brands make their products better than others.
• Price differentiation: keeping their prices slightly different from their competitors brands try to attract more and more customers.

Strategies they use to position themselves in their respective markets:

• Keeping their price low as compare to their competitors
• Advertising of their products
• Maintaining quality of their products to satisfy their customers
• Providing proper services for their products so that customers can develop loyalty and trust for their brand
• Close eye on the strategies of their competitors
• Text the efficiency of their products in the market and taking feedback from customers.