Wednesday, May 8, 2013

Week 6 EOC: Chapter Questions


1.                  Compare services to products, and examine the difference and/or similarities in their branding process.

Service is an act of doing something for the customer in terms of helping them, getting the product they need, and assisting them in whatever else they want. Products are a service in itself. It only depends on the customer knows the product and how to use, will the product sell itself. I believe that a service and a product work hand in hand. Honestly without service, how can you describe a product? And without a product, how do you expect a service to be demonstrated?


2.                  Define retail concept, and briefly discuss its role in the positioning strategy of a retail brand.

The service mix is the mix of attributes that define the retail store concept. They are: merchandise, price, location, and service. Merchandise is the product they place on the floor so that the customers can consume them, by buying them and taking it home. Price is a very important factor in a retail operation because price can either turn a customer away or make a customer purchase the product. That goes hand in hand with service, where the workers help explain the product and sell it to the customer. Location is also everything because it depends on how far will you travel? If its close to the consumers home then they’re more willing to go and purchase the product, if it’s far they won’t go anywhere.

3.                  What are the advantages and disadvantages of franchising as a global growth strategy?

Advantages of that are you can expand your brand and have it become world wide and known. Disadvantages of that are it can flop and you won’t make any money and your franchise will fail. You have to take into consideration where you’re going to have your store, what product your store is going to hold, and how much everything is really going to cost.

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