MARKETING-II

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Competitive Strategies
byAnkur chandra Karthika shivram Sangya das 11bsp1192Alok upadhyay 6/8/12 Pawan

OUTLINE
1. COMPETITIVE POSIONING 2. LEADER STRATEGIES. 3. CHALLENGER STRATEGIES. 4. MARKET- FOLLOWER STRATEGIES. 5. NICHE STRATEGIES.

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INTRODUCTION.
o Having

a competitive advantage is necessary for a firm to compete in the market. o But what is more important is whether the competitive advantage is sustainable. o A firm must identify its position relative to the competition in the market. o By knowing if it is a leader, 6/8/12 challenger, follower or nicher, it

1.Competitive Positions
v

Competitive positioning is about defining how youll differentiate your offering and create value for your market. One of thekey elementsof yourpositioning strategyis yourvalue proposition.

There are three core types of value that a company can deliver: operational efficiency (the lowest price), product leadership (the best product), or customer intimacy (the best solution & service). Determine which one youre best equipped to deliver; your 6/8/12 decision is your value proposition.

2. Strategies for Market Leaders

Market Leaders objectives:

Expand the total market by

Finding new users Creating new uses, and Encouraging more usage

Protect

its current market share by

Adopting defense strategies (see following slides)

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Increase

3. Niche Strategies

Smaller firms can avoid larger firms by targeting smaller markets or niches that are of little or no interest to the larger firms e.g. Logitech--MOUSE

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Niche Strategies (contd)

Nichers

must create niches, expand the niches and protect them

e.g. Nike constantly created new niches--cycling, walking, hiking, cheerleading, etc

What

is the major risk faced by nichers?

Market niche may be attacked by 6/8/12 larger firms once they notice the

Multiple Niching
[A] firm should `stick to its niching but not necessarily to its niche. That is why multiple niching is preferable to single niching. By developing strength in two or more niches the company increases its chances for survival. Philip Kotler
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Market Challenger Strategies

The market challengers strategic objective is to gain market share and to become the leader eventually How?
By By By

attacking the market leader

attacking other firms of the same size attacking smaller firms 6/8/12

Market Challenger Strategies (contd)

Types of Attack Strategies
Frontal Flank

attack attack

attack attack attack

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Encirclement Bypass

Guerrilla

5. MARKET FOLLOWER STRATEGIES

IT IS AN STRATEGY IN WHICH NO PRODUCT INNOVATION IS DONE . What does a follower earn? The follower normally earns less than the leader.

For example, a study of food-processing companies showed the largest firm averaging a 26% return on investment; the number two firm, 14%;
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ZEE TELEFILMS
Broad-based 23

TV channel network.

Channels flagship Channel- ZEE TV time audience share37% (ZEE) 39% (Doordarshan) 8% (Star)

ZEEs Prime

Captured

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NRI audience

Awards
The

Economic Times' "The Emerging Company of the Year" (1998). FICCIAward. Integrated Media Corporate.

The

Fully

Viewer base of over 250 million across the globe. 5 continents across 120 countries. 6/8/12

Operations-

Competitors
Sony

& Star. lowest market share & Sony- 11.29%.

Recorded

-5.19%.
Star-18.49% Sony Star

launched SET MAX.

launched its other channels such as STAR GOLD, World.

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Strategies
Brand

Extension Re-positioning

Re-Branding Brand

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Zee

TV's broadcast content- from film-based to educational programs. a two-pronged strategy

Implemented To To

reform the programming content and the second was redefine the prime time band. wholesome family 6/8/12 entertainment.

Clean,

Trendz ZEE

-ZEE Trendz,

English - ZEE Caf TV- Zee Smile

Smile Alpha New

channels were prefixed with 'Zee. catch line-JIYO ZEE BHAR KE".
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