{"id":125,"date":"2012-11-04T00:25:45","date_gmt":"2012-11-04T00:25:45","guid":{"rendered":"http:\/\/blogs.law.harvard.edu\/willbanks\/?p=125"},"modified":"2014-03-14T03:07:12","modified_gmt":"2014-03-14T07:07:12","slug":"the-rule-of-three-surviving-and-thriving-in-competitive-markets","status":"publish","type":"post","link":"https:\/\/archive.blogs.harvard.edu\/willbanks\/2012\/11\/04\/the-rule-of-three-surviving-and-thriving-in-competitive-markets\/","title":{"rendered":"The Rule of Three – Surviving and Thriving in Competitive Markets"},"content":{"rendered":"

“On average, customers consider at most three choices before making a purchase.”<\/em><\/p>\n

\"Surviving<\/a><\/p>\n

Strategies from Jagdish Sheth’s and Rajendra Sisodia’s book The Rule of Three – Surviving and Thriving in Competitive Markets<\/em><\/a>.<\/p>\n

    \n
  1. Strategies for #1 Companies (Strategies for Generalists):<\/strong>\n
      \n
    1. Be a “fast follower” in innovation<\/li>\n
    2. Push for the adoption of industry-wide standards<\/li>\n
    3. Develop world-class marketing and advertising through single or dual global brand positioning<\/li>\n
    4. Use multiple distribution channels<\/li>\n
    5. Emphasize how both low costs and product differentiation, and focus on volume over margin<\/li>\n
    6. Grow the market<\/li>\n
    7. Avoid dogmatic thinking.<\/li>\n<\/ol>\n<\/li>\n
    8. Strategies for #2 Companies (Strategies for Generalists):<\/strong>\n
        \n
      1. Innovate and differentiate<\/li>\n
      2. Concentrate on resources for best opportunities<\/li>\n
      3. Use guerrilla marketing<\/li>\n
      4. Take calculated risks<\/li>\n
      5. Promote vertical partnerships<\/li>\n
      6. Seek out horizontal partnerships<\/li>\n<\/ol>\n<\/li>\n
      7. Eight Strategies for Specialists:<\/strong>\n
          \n
        1. Maintain exclusivity and product\/market share<\/li>\n
        2. Keep the specialty pure, but create subspecialties as needed<\/li>\n
        3. Practice target marketing and avoid segment creep<\/li>\n
        4. Offer sales expertise, great personal service, and superior experiences<\/li>\n
        5. Shun fixed costs<\/li>\n
        6. Create entry barriers<\/li>\n
        7. Avoid the regional specialist’s path<\/li>\n
        8. Control growth<\/li>\n<\/ol>\n<\/li>\n
        9. Strategies for Ditch Dwellers (From Ditch to Niche)<\/strong>\n
            \n
          1. Tailor unique solutions to vertical markets<\/li>\n
          2. Simplify and reduce product lines (Think Apple, late 1990’s)<\/li>\n
          3. Centralize organizational structure and pare down distribution channels<\/li>\n
          4. Become a specialist in a geography where you have a strong brand equity and a position of strength<\/li>\n
          5. Leverage brand name and distribution channels<\/li>\n<\/ol>\n<\/li>\n
          6. Rules of Engagement in Global Markets<\/strong>\n
              \n
            1. Shore up the domestic market first<\/li>\n
            2. Have the right attack strategy<\/li>\n
            3. Counterattack in the attacker’s home market<\/li>\n
            4. Time the entry right<\/li>\n
            5. Don’t go into foreign markets alone<\/li>\n<\/ol>\n<\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"

              “On average, customers consider at most three choices before making a purchase.” Strategies from Jagdish Sheth’s and Rajendra Sisodia’s book The Rule of Three – Surviving and Thriving in Competitive Markets. Strategies for #1 Companies (Strategies for Generalists): Be a … Continue reading →<\/span><\/a><\/p>\n","protected":false},"author":4699,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-125","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/posts\/125","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/users\/4699"}],"replies":[{"embeddable":true,"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/comments?post=125"}],"version-history":[{"count":4,"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/posts\/125\/revisions"}],"predecessor-version":[{"id":442,"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/posts\/125\/revisions\/442"}],"wp:attachment":[{"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/media?parent=125"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/categories?post=125"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/archive.blogs.harvard.edu\/willbanks\/wp-json\/wp\/v2\/tags?post=125"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}