For producing extremely high quality products. But are there really enough buyers who ne that quality and are willing to pay for it? It is possible that the item is too high quality and costs too much. Beat with better services We all want great service. However, consumers understand it differently. Here are some restaurant customers who want a waiter to show up right away, mark the order accurately, and bring the dishes deftly.
An those who want to spend a quiet evening will see a similar situation as a rush
Any service has many characteristics: spe, friendliness, awareness, problem solving, and so on. Each person is likely to value the same service chinese overseas africa number data differently at different times. Relying on service quality is also not enough. Defeat by cutting prices The low-price strategy has guarante success for many companies, including the world’s largest retailer IKEA, the world’s largest retailer Wal-Mart , and one of America’s most profitable airlines, Southwest .
However, a low price strategy requires caution
A company with even lower prices may suddenly appear on the market. Sears had been following a low-price strategy for years, but Wal-Mart’s products were even cheaper. A low price strategy alone is not enough to create a viable business. Yugo in today’s digital meical chat cars were cheap, but the quality was the worst and they disappear. A certain quality of the product and service is necessary, because consumers ne to feel that they are buying something of value, not just a cheap one. Defeat by increasing the market Those with a larger market share earn more than their weaker competitors.
They enjoy economies of scale and the fact that their brand is better known
The effect of brand recognition works, and new customers prefer to choose the products of such a company. However, those who control bulk lead a large share of the market often cannot boast of high profits. A & P ran the largest grocery chain in the U.S. for years, but profits were miserable. Defeat by adapting to customer nes Many buyers will want the seller to take their nes into account when delivering the product, both in terms of product quality and service.