Chapter 18 Creating Competitive Advantage

i t ’s good and good for you

Chapter Eighteen
Creating Competitive Advantage

Copyright © 2012 Pearson Education, Inc.
Publishing as Prentice Hall

18-1

Creating Competitive Advantage
Topic Outline

• Competitor Analysis
• Competitive Strategies
• Balancing Customer and Competitor
Orientations

Copyright © 2012 Pearson Education, Inc.
Publishing as Prentice Hall

18- 2

Today’s Companies
• Competitive advantages require delivering more value and satisfaction to target consumers than competitors do
• Competitive marketing strategies are how companies analyze their competitors and develop value-based strategies for profitable customer relationships

Copyright © 2012 Pearson Education, Inc.
Publishing as Prentice Hall

18- 3

Competitor Analysis
Competitor analysis is the process of identifying, assessing, and selecting key competitors

Copyright © 2012 Pearson Education, Inc.
Publishing as Prentice Hall

18- 4

Competitor Analysis
Identifying Competitors

Competitors can include:
• All firms making the same product or class of products
• All firms making products that supply the same service
• All firms competing for the same consumer dollars
Copyright © 2012 Pearson Education, Inc.
Publishing as Prentice Hall

18- 5

Competitor Analysis
Assessing Competitors

Copyright © 2012 Pearson Education, Inc.
Publishing as Prentice Hall

18- 6

Competitor Analysis
Assessing Competitors

Copyright © 2012 Pearson Education, Inc.
Publishing as Prentice Hall

18- 7

Competitor Analysis
Selecting Competitors to Attack and Avoid
Customer value analysis determines the benefits that target customers’ value and how customers rate the relative value of various competitors’ offers
•

•

Identification of major attributes that customers value and the importance of these values Assessment of the company’s and competitors’ performance on the valued attributes

Copyright © 2012 Pearson Education, Inc.
Publishing as Prentice Hall

18- 8

Competitor Analysis