Aiming on customer loyalty, superior value must be delivered along with the superior performance.

Narver and Slater (1990) said there are 5 components which composed those things, which are: *
Customer orientation * Competitor orientation * Inter-functional coordination * Organizational culture *
Long-term focus

In my opinion, those five components can be summarized on their resources. Customer orientation has
been manifested through high quality product. On the other hand, competitor orientation has been
manifested through plant and office location. The relationship between plant, head office and customer
becomes the manifesto of inter-functional coordination. Organizational culture and long-term focus are
explained as intangible asset.

In getting a better point of view, those things will be explained in a different way as mentioned below:

a. Assets

Miele has a unique combination of assets as its main reason for outstanding performance in
appliance market. The combination of tangible and intangible assets becomes product strength
which differentiate it from competitors, those assets are listed as below

1. Tangible

Tangible asset in Miele consists of high quality product, plant and office location. Miele 's high
quality products have been known widely, as the proof of consistency in delivering superior
benefit in fulfilling customer needs. Setting higher price than its competitor considered as a
rational decision since superior benefit has been delivered.