Dealing
with Competition
Marketing Management, 13
thed
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 11-2
Chapter Questions
• How do marketers identify primary
competitors?
• How should we analyze competitors’
strategies, objectives, strengths, and
weaknesses?
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Chapter Questions (cont.)
• How should market challengers attack
market leaders?
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Industry Concept of Competition
• Number of sellers and degree of
differentiation
• Entry, mobility, and exit barriers
• Cost structure
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Table 11.1 Customer Ratings of
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Strengths and Weaknesses
Share of market
Share of market
Share of mind
Share of mind
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 11-10
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Figure 11.5
Hypothetical Market Structure
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Figure 11.7
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Other Competitive Strategies
Market
Challengers
Market
Nichers
Market
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Market Challenger Strategies
• Define the strategic objective and
opponents
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General Attack Strategies
Frontal Attack
Encirclement
Attack
Bypass Attack
Flank Attack
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Specific Attack Strategies
• Price discounts
• Lower-priced goods
• Value-priced goods
• Prestige goods
• Product proliferation
• Product innovation
• Improved services
• Distribution
innovation
• Manufacturing-cost
reduction
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Market Follower Strategies
Counterfeiter
Cloner
Imitator
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Niche Specialist Roles
• End-User Specialist
• Vertical-Level
Specialist
• Customer-Size
Specialist
• Specific-Customer
Specialist
• Geographic
Specialist
• Product-Line
Specialist
• Job-Shop Specialist
• Quality-Price
Specialist
