How loyal are customers to your brand Price sensitivity How well differentiated your product is Availability ofsubstitutes Having a customer that has the leverage to dictate your prices is not a good position.
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STP Analysis STP analysis begins from segmentation to involve targeting and positioning in a sequence that will ensure that the company progresses gradually towards the attainment of objectives Khan,p. Segmentation will inform identification of specific consumer needs and develop categories of customers.
As a marketing company, Local Source Group is concerned with the welfare of the local farmers as pertains to the production and distribution of apples to enhance profitability Bose,p. Segmentation should also involve the separation of duties and responsibilities between and among farmers on roles that they ought to play to ensure that the local industry lobby group functions to champion better prices for the commodities produced and sold locally.
Subsequently, targeting will involve the establishment of commitment of various categories of the consumer market in the purchase of products.
To achieve this end, the group must identify the segment of the market that offers the most promise in regards to the consumption of apples. In that esteem, women prove to be the segment of the market that effectively responds to the purchase or consumption of apples.
The group should, therefore, prioritize women as their foremost target market. Finally, the group should work to position the product uniquely based on the premise that locally produced apples are not cultivated through genetic modifications; hence, offering the customers natural nutrients in the vitamins contained in locally produced apples as compared to international brands.
Pricing The price of the locally produced commodities is also considered to be higher than that which is of imported apples. With respect to the rate of inflation, it would make a lot of sense if the lobby group worked towards initiatives that would serve to reduce the selling price of the product and ensure that the locally produced apples are affordable.
In an effort to achieve that end, the marketing group should lobby for the rollout of government policies that offer subsidized farming inputs to cushion farmers from exorbitant costs of production. An example of such policies would be the exemption from taxation or the subsidization of fertilizer prices which would have the implication of reducing the cost of production on the farmers or local apple producers.
Ultimately, such policies will go a long way in reducing the final price of the commodity in the market making it affordable to local consumers which will then boost sales.
Place is associated with the location of the retail of the apples, knowing that local retailers are warming up to imported products due to the affordability of imports, the company should work to harmonize prices of locally produced apples with imports.
The ultimate result of such harmonization will be that locally produced apples and internationally imported ones will compete for side by side on an even platform. In contrast, a genetically modified alternative that comprises much of the imports lack the natural nutrients in the form of vitamins that the local fruits have to offer.
Processes are associated with the laid out channels, structures, and strategies that the lobby group will use to ensure that farmers in the local farmers get their fair share of apple market especially since it is at current overrun by imported alternatives Akroush,p.
The physical environment proves advantageous for the production of various apple varieties an attribute that gives locally produced apples a competitive edge against the competition for the assurance of quality. People play an important role as the membership of the Local Source Group proves critical to the welfare of the farmers at large.
As such, the organization must ensure that members join in to pool efforts towards the attainment of common objectives. By growing the membership of the group, the capacity of the group in terms of its bargaining power will be such that it facilitates supplier power giving farmers the authority to determine the fate of their products and shape demand-supply relationships in the market Mohammad,p.
Promotion of the group relies heavily on word of mouth and social networking development between and among farmers whose membership to the organization will strengthen it.
The company can explore options such as the use of social media platforms to strengthen the influence of the Local Source Group and, thereby, facilitate growth in its impact on the development and lobby of the interests of the farmers. Differentiation is contingent on the quality of local apples as naturally grown as opposed to genetically modified foreign alternatives Focus will rely on the segmentation of the market specifically identifying the most significant or promising client.
To this end, women should be the number one target for locally produced apples.Policies. Apple cares about protecting your personal information online, and we stand behind our products and services.
Learn more about our commitment to protecting your privacy and about our corporate policies. The competitive strategies that a company employs determine the success or failure of an enterprise. The company uses Porters’ generic strategies to wade through the competitive market.
Apple uses three generic strategies to compete effectively. Competitive Strategies and Government Policies Externalities are defined as decisions of consumption, production and investment made by individuals or businesses that affect third parties not involved directly in the transactions.
Cost Leadership Strategy of Apple. TYPES OF COMPETITIVE STRATEGIES Apple Inc. Cost Leadership Strategy Cost leadership strategy has been highly adopted by Apple Inc in its endeavors of ensuring competitiveness and success in the technology industry.
The company’s management has been able to draw policies and strategies that are aimed at ensuring that the company is the lowest cost producer. The current competitive strategies used by both Samsung and Apple Inc. have both advantages and disadvantages.
As noted earlier in the paper, Apple Inc. was the largest producer of Smartphones in the world before being overtaken by Samsung. The institutions include government markets, small to medium businesses, enterprises and the education sector. In order to maintain a high-quality purchasing experience for the company’s products, the Company continues to make plans on the expansion schemes (O’Grady, J.