Company Positioning 1. Introduction Positioning is a means in which a company differentiates its products and/or services from that of its competitors and then determine the market nince to fill within the broad market (Matzler & Bailom, 2013). In doing so, the company establishes the identity of the product or service in the eyes of the buyer or the customer. This is achieved through a positioning strategy where a company deliberately plans a brand or process so as to make customers buy it all the time. In this cases, everything about the product or services holds weight, even the wordings, as it associates with the consumer in one way or another. The main objective of a positioning strategy is to solidify the identity of a company and its …show more content…
The book “Positioning – The Battle for Your Mind, in 1981” by Trout and Al Reis further popularized the concept of positioning (AlRiesandJackTrout, 1981).This book explains positioning as a method in which the sellers tries to understand the customer’s mind through a systematic manner. It assumes that communication can only take place in certain manner at a specific time. With such understanding of customers, then a company can win such customers by giving them what they want: products and/or services. 2. Industry Structure analysis Industrial analysis, which is also known as Porter’s Five Forces Analysis, is a useful tool for business strategists. This analysis assumes that the varying profit margins between industries can only be explained by the structures of such industries. While the Five Forces are used to determine how attractive an industry is, they can also be used to formulate a strategy and understand the competitive environment in which a company operates. 2.1. Porter’s Five Forces …show more content…
All the efforts are geared towards widening the market coverage and achieve as much sales as possible. As this happens, there is a lot of completion between companies in the same industry. Company positioning tries to win the hearts of the customers as far as products and/or services are concerned as compared to those of the competitors. There many ways of making sure that positioning strategies are successful. Such includes Industry Structure analysis, value chain analysis, benchmarking, and taking competitors as stakeholders among other positioning strategies. The underlying objective is to understand the competitor well and make the best move as to widen the market coverage. Market forces and structures change on daily basis and so the strategy applied should be aligned to such changes. In addition, positioning strategies applied changes form industry to