CHAPTER V.

THE MARKET
V.I THE TARGET MARKET
We are part of the computer reselling business, which includes several kinds of
businesses:
1. Centers for Independent Living - The centers typically buy aids to assist in
the teaching of life skills and other transition skills to their clients.
2. School Districts- In order to assist the school districts in teaching the students
(a federal requirement) the districts will use instructional tools and
aids. Instructional tools are particularly useful as the ratio of students
to teachers is often high and these aids help the school manage the students
better.
3. Proactive Parents- Parents that are interested in helping with their child's
education will seek useful devices that they can use at home.
4. Agencies- The agencies are often given sums of money and must spend it on
the students' education/training. The agencies are always looking for products
that will be useful in providing students with necessary skills.
5. Computer dealers: storefront computer resellers, usually less than 5,000
square feet, often focused on a few main brands of hardware, usually offering
only a minimum of software, and variable amounts of service and support.
These are usually old-fashioned (1980s-style) computer stores and they
usually offer relatively few reasons for buyers to shop with them. Their
service and support is not usually very good and their prices are usually higher
than the larger stores.
6. Mail order: the market is served increasingly by mail order businesses that
offer aggressive pricing of boxed product. For the purely price-driven buyer,
who buys boxes and expects no service, these are very good options.

V.II THE MARKET SEGMENTATION

ITech has identified four distinct market segments for their products:

Centers for Independent Living- These are typically not-for-profit entities

that assist individuals with developmental disabilities. The centers help clients
with transition skills, making them more independent. These centers offer a wide
range of life skills training for the individuals.

School Districts- All students are guaranteed an education therefore the

school districts must provide the appropriate education until the individual is 21
years old. School districts are consumers of these products in pursuit of their
goal of providing the students with an appropriate education.

Proactive Parents- These are parents of individuals with developmental

disabilities who are taking an active role in their child's education/life skill
training. Reinforcing these skills as much as possible is useful; therefore there
are many parents that will purchase the software for home use.

Agencies- Many states, often as a reaction to a lawsuits (individual and class

actions) have set up agencies or brokerages whose purpose is to dispense money
from the state to the service providers assisting the individuals in need.

V.III THE MARKET POSITIONING

Our main key is ensuring that all advertising and actions are commensurate based in
our positioning strategy. Our positioning strategy is to portray to the public our
products.
Value Positioning
- We price our products at or below industry averages including making a popular
online reference site. It appeals to consumers who are sensitive to price
changes. We intend to target a low- to middle-income consumer or just appeal
to cost-conscious buyers. We intend to work well during recessions or slower
economic periods.

 Competitive Positioning
- Our company also uses a comparative advertising to demonstrate that its brands
are superior. Hence, we attempt to alter the image a competitor wishes to
portray and put itself in that top position. As business owners often use
competitive positioning strategies as counterstrategies. For example, a software
company known for its customer service may advertise to counter a competitor's
claim that the competitor's customer service is superior.

Quality Positioning
- ITech products may be targeted predominately toward men or women. We also
assume a quality positioning stance in the market. This means we focus on
offering the highest quality products possible. Our Company in technical
industries position ourselves as quality leaders. We usually price our products
above industry averages that we need to recoup the extra costs associated with
product research, engineering and production.