Global Marketing Exam 2
Chapter 7: Segmentation and Positioning • Understand the reasons for the following:
A. International Market Segmentation: The goal of market segmentation is to break down the market for a product or a service into different groups of consumers who differ in their response to the firm’s marketing mix program.
i. Segments should have include a set of properties: Identifiable, Sizeable, Accessible, Stability, Responsive, Actionable. ii. Country Screening - Global Marketing Research - Entry Decisions - Positioning Strategy - Resource Allocations - Marketing Policy Mix B. How to Assess Dimensions:The formulation of a positioning strategy (local or global) includes the following steps: 1. Identify the relevant set of competing products or brands. 2. Determine current perceptions held by consumers about your product/brand and the competition. 3. Develop possible positioning themes. 4. Screen the positioning alternatives and select the most appealing one. 5. Develop a marketing mix strategy. C. The Different Ways to Segment. i. Demographics: Purchasing Power Parity (PPP) criteria, Human development index (HDI) classification, (SES) Analysis ii. Behavior Based: criteria include degree of brand/supplier loyalty, usage rate (based on per capita consumption), product penetration (that is, the percentage of the target market that uses the product or the brand), and benefits sought after. iii. Life Style: Achievers, Traditionals, Survivors, Nurturers, Hedonists, Socialrationals, Self- directeds iv. Socioeconomic Variables: Caveats in using per capita income as an economic development indicator: Monetization of transactions within a country, Gray and Black Market sections of the economy, Income disparities
2. How to formulate a positioning strategy and the different ways/dimensions to position products in the international market. i. Global consumer culture
A. International Market Segmentation: The goal of market segmentation is to break down the market for a product or a service into different groups of consumers who differ in their response to the firm’s marketing mix program.
i. Segments should have include a set of properties: Identifiable, Sizeable, Accessible, Stability, Responsive, Actionable. ii. Country Screening - Global Marketing Research - Entry Decisions - Positioning Strategy - Resource Allocations - Marketing Policy Mix B. How to Assess Dimensions:The formulation of a positioning strategy (local or global) includes the following steps: 1. Identify the relevant set of competing products or brands. 2. Determine current perceptions held by consumers about your product/brand and the competition. 3. Develop possible positioning themes. 4. Screen the positioning alternatives and select the most appealing one. 5. Develop a marketing mix strategy. C. The Different Ways to Segment. i. Demographics: Purchasing Power Parity (PPP) criteria, Human development index (HDI) classification, (SES) Analysis ii. Behavior Based: criteria include degree of brand/supplier loyalty, usage rate (based on per capita consumption), product penetration (that is, the percentage of the target market that uses the product or the brand), and benefits sought after. iii. Life Style: Achievers, Traditionals, Survivors, Nurturers, Hedonists, Socialrationals, Self- directeds iv. Socioeconomic Variables: Caveats in using per capita income as an economic development indicator: Monetization of transactions within a country, Gray and Black Market sections of the economy, Income disparities
2. How to formulate a positioning strategy and the different ways/dimensions to position products in the international market. i. Global consumer culture