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Explain how and why firms implement positioning strategies and how product differentiation plays a role.

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Explain how and why firms implement positioning strategies and how product differentiation plays a role. Positioning is used to influence consumer perceptions of a particular brand, product line, or organization in relation to competitors. The term position refers to the place that the offering occupies in consumers’ minds. To establish a unique position, many firms use product differentiation, emphasizing the real or perceived differences between competing offerings. Products may be differentiated on the basis of attribute, price and quality, use or application, product user, product class, or competitor Questions 9.1 Choose a product category (e.g., pick-up trucks), and identify at least three different brands and their respective positioning strategies. How is each position communicated to the target audience?


 

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