Prices of competing brands against the coping strategies.doc

 PAGE \* MERGEFORMAT 6 Prices of competing brands against the coping strategies Market competition, enterprises often face competing brands in an effort to gain market share and to have aggressive price cuts in the decision-making must do before the investigation and analysis of competing products: 1, to understand the purpose of lower prices of competing products, whether expand the market to win? whether the use of excess production capacity to enhance competition in the wall? whether leading an industry-wide price movements within? 2, analysis of competing products in this price change is temporary or long-term measures? 3, if the Company Failure to respond to market share and profits will be what kind of damage? 4, analysis of observations made by other companies are going to react? 5, analysis of each reaction, competing products and the next step in coping strategies of other companies in the full analysis of competing products after the manager to take decisions quickly and dynamically observe the market reaction to timely adjust its strategy of means, including: First, maintain the product’s original price. Suitable conditions: 1, if the lower prices will lose a lot of profit, 2, to maintain the original price is not expected to lose a lot of market share, 3, if necessary, is fully capable to regain market share of the main goal is to capture a good target customers, to give up some of the poor give competing products, but this has risks: competing goods sales surge in attacks, will make the camp more confident to win the general trend of market position, while our staff morale will be affected. When managers perceive the situation worse than expected at lower prices to regain market share to go, then the price will be even greater losses than gains. Second, to maintain the original price and increase product value. Company can maintain the original price, while further enhancing the service to communicate. Fully interact with their target cus