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Differentiation Chapter 8
Differentiation Chapter 8
Shuly Aktar
Associate Professor
Department of Marketing
Begum Rokeya University, Rangpur
Chapter 8
Differentiation
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Differentiation
A firm differentiates itself from its competitors
when it provides something unique that is valuable
to buyers beyond simply offering a low price
It is not only happen in product or marketing
practices but it can arise anywhere in a firm’s value
chain
Differentiation allows a firm to
command:-
Sources of Uniqueness:-
►Policy choice:
- Product features and performance offered
- Service provided (e.g. credit, delivery, or repair)
- Intensity of an activity (e.g. rate of advertising spending)
- Content of an activity (e.g. order processing)
- Technology employed (e.g. effective machine tools etc.)
- Quality of inputs
- Skills and experience level of personnel
- Control an activity (e.g. temperature, pressure)
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►Linkage:
– Linkage within the value chain
– Suppliers linkage
– Channels linkage.
How linkages within channels can lead to uniqueness are as follows:
- Training channels in selling and other business practices
- Joint selling efforts with channels
- Investment in personnel, facilities, and performance of
additional activities.
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Thanks
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