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Running Head: MARKET POSITION ANALYSIS1
MARKET POSITION ANALYSIS2
Module 2, Assignment 2:
Market Position Analysis
Scott Jackson
Solution
s to Organizational Challenges B6028
September 4, 2012
· Describe the target customer for the product/service in terms
of relevant characteristics that impact the marketing strategy,
including location (how it is reached) and buying habits.
The company Disneyland Paris provides entertainment,
relaxation joints and dining places for its customers. Its target
customers are from all over the world and of all age groups but
due to the high price of the tickets as per their standards, the
firm has used the niche strategy of segmentation whereby only
individuals of a certain class can have access to certain
services; those of high social status. Those of middle level
incomes can also access some of these services as the pricing
strategy used allows for this; revenue centered pricing strategy.
This strategy has also been used whereby the charges for
customers of French origin are much lower compared to those of
other customers such as British customers. The use of several
languages in booking the tickets to access the services of the
firm is also a way of attracting a wide range of clientele from
different regions of the world (Clavé, 2006).
Additionally, the location of the firm is one that portrays the
perception of a high society range of clientele; Paris is known
to be a prestigious city especially for it fashion and high
celebrity composition and this makes it expensive, therefore,
the targeted customers for Disneyland Paris are mostly high
people in all societies of the world although the average person
can also access some services and products. In terms of the
buying habits, the firm can be said to be targeting customers of
French origin more as the prices charged to them seem to be
considerably lower. This can also be a strategy to attract more
customers of French origin to use their services through the
high discounts as the firm is in their country; France (Aaker &
McLoughlin, 2010).
· Identify each customer segment’s specific wants and needs.
Explain why they buy your company’s product or service, or a
competing product or service.
There are several customer segments in Disneyland Paris and
these vary according to the levels of income, age group and
social status. There are those who visit the theme parks and
expect to get a lot of amusement and entertainment through
visiting popular thematic parks such as the Santa Claus Land;
this is for all age groups and the all level of income earners
(Doole & Lowe, 2005).Those who visit retail centers expect to
get the commodities that they are looking for and at fair prices;
this is mostly for the high society as they are quite expensive;
those who visit dining places expect high quality and delicious
dishes and cuisines; those who visit hotels expect quality
services and finally, those who visit the entertainment center
expect a lot of interesting and entertaining features or films.
The main reason why these customers buy the products or
services of Disneyland Paris is to get original entertainment at
the most popular city and to have a taste of entertainment at the
source. That is why these customers pay such high prices to get
these services and products (Aaker & McLoughlin, 2010).
· Justify how well your product/service satisfies customer wants
and needs. Identify any wants and needs that are not met by
your product/service.
By visiting the theme parks at Disneyland Paris, the customers
get first hand entertainment whereby children can play and
older people can interact and get entertained by visiting the
places that are iconic for famous movies such as the sleeping
Beauty castle. Through the hotels and fine dining places,
customers’ dining needs are satisfied and fulfilled through the
fine cuisines. Finally, customers also get to have a taste of
glamour and elegance that is associated with Paris through
visiting the retail store at Disneyland Paris (Doole & Lowe,
2005).
· Analyze your product’s position in relation to the competition.
Identify 3–5 main competitors. Explain how your product
differs in terms features, function, quality, price, availability,
brand image, etc. Explain why this differentiation is important
to your customers.
Disneyland Paris has a high market position compared to its
competitors. This is mainly because of its brand name and its
diversification strategy. Its main competitors are; Time Warner
Inc., AOL Inc., CBS Corporation and also DreamWorks.
Compared to the other competitor firms, Disneyland Paris offers
first class services that have special features such as the popular
Cinderella castle which is behind the popular short stories and
films of Cinderella. In terms of the brand image, Disneyland is
definitely known for its strong brand image. Additionally, the
firm offers high quality services through its high quality hotel
services, and friendly booking services that seek to serve a wide
range of clientele in many different languages. This
differentiation is important in helping the customers to learn
about the various products and services offered by the firm and
in providing information about the convenience of Disneyland
Paris for all customers who seek high quality services and
entertainment (Munos, 2003).
· Describe the source of competitive advantage for your
product. Evaluate sustainability of this source of advantage.
The main source of competitive advantage for Disneyland is its
strong brand name. The sustainability of this firm’s brand name
lies in continuously providing quality and worthy services and
products to customers. Consistency is a very hard thing to
maintain in a business but when it comes to protecting the
firm’s main source of competitive advantage, it is very crucial
to do everything to keep the firm at the top of its competitors
(Duron, 2009).
· Assess the long-term sustainability of the source of
differentiation and competitive advantage.
In terms of the long term sustainability of Disneyland’s source
of differentiation and competitive advantage, a lot can be said.
The firm needs to come up with strategies to continually protect
its brand image, to protect the various products and services
offered by the firm and to continually improve them in terms of
quality and fair prices to suit all customer segments. Therefore,
how long these differentiation strategy stays on top and the how
long the firm will have competitive advantage over other firms
will depend on how it will continually be strategic to retain the
current customers and to attract more (Doole & Lowe, 2005).
· Apply the five “P’s” of marketing to your product analysis.
In terms of the product, the firm offers a wide range of products
and services ranging from theme parks, hotel services, dining
services and hotel services. These products and services target
all customer segments including the different age groups and
people of different income levels. The price charged by
Disneyland covers all customer segments as there are products
and services for the high income earners and also for the
average customers (Duron, 2009). The price set is also
appropriate to cover the operating costs of the firm and to
ensure that it can still continue operating with some level of
profits. As for the place, the firm is centrally situated in Paris at
a convenient place that is easily accessible. The firm uses the
promotion factor of the marketing mix to create awareness of
their products to the customers through massive advertising
over the internet and billboards. As for people, this P explains
how the knowledge and skills of the firm’s employees can help
it to achieve the set goals and help it obtain a big market share
(Duermyer, 2012).
Conclusion
Disneyland Paris can be said to a firm that has improved
overtime due to application of relevant strategies to protect its
market share. The differentiation strategy is the most utilized
strategy in this firm and therefore if other firms place their
focus on crafting practicable strategies, their firms can prosper
as well. A firm’s strategy and continuous improvement is
therefore very crucial to the success of any firm.
After interviewing the three managers on their views concerning
Disneyland’s value proposition, market position, and
competitive advantage, two of them agreed that the firm is a
market leader especially in the entertainment industry, but not
in terms of the other products such as the hotel business as there
are other market leaders in that field. The other manager was of
the view that Time Warner Inc. was the market leader. In terms
of the value proposition, two managers were of the view that the
firm appeals to most of its clients because of its commitment to
providing quality entertainment and its diversification strategy
of offering a wide range of products and service. The other
manager was of the view that the firm’s value proposition lies
only in its strong and popular brand name. In terms of the
competitive advantage, the three managers agreed that
Disneyland Paris gets its competitive advantage through its
strong brand name which has helped it to make a lot of sales
and to attract and retain many customers and thus staying ahead
of its competitors.
References
Munos, T. (2003). Decline of the Masterbrand. President and
CEO Magazine. New York: Marriot.
Duron, M. (2009). The 5P’s of marketing.Duermyer, R. (2012).
Marketing Mix. New York: The New York Times
Company.Doole, I., & Lowe, R. (2005). Strategic marketing
decisions in global markets. London: Thomson Learning.Clavé,
S. A. (2006). The global theme park industry. Wallingford,
Oxfordshire: CABI.Aaker, D. A., & McLoughlin, D. (2010).
Strategic market management: Global perspectives. Chichester:
Wiley.
Respond to the following discussion questions:
1. Discuss the role and importance of good listening skills in
cross-cultural communication.
2. Discuss communication challenges unique to groups and
teams.
Your initial response to each discussion question should be less
than 150 words—excluding the APA references and in-text
citation for sources, if used. Be concise.
External Environmental Scan
In order to develop effective strategies, it is critical to
understand the marketplace environment. In this assignment you
will explore the relationship between marketplace positioning
based on environmental factors.
Throughout this capstone course, you will work on a strategy
audit for a selected organization (EuroDisney). In Module 1,
you selected an organization for your course project activities.
So far you have completed a market position analysis for your
organization (see attachment on EuroDisney).
In this module you will conduct a comprehensive external
environmental scan of your business unit, including a Five
Forces analysis, to identify the relevant trends that pose
opportunities or threats to your business. These will serve as
inputs into a final SWOT analysis that will be due in Module 4:
Assignment 2.
There are many elements that can go into an environmental
scan, and your analysis will depend on the nature of your
business unit, product portfolio, target market, and other factors
related to the scope of your business.
Your environmental scan should include some or all of the
following elements:
· Economic factors and trends
· Political factors and trends
· Regulatory and legal factors and trends
· Societal factors and trends
· Technological factors and trends
· Geographic factors and trends
· Porter’s Five Forces that consists of the following aspects:
· Threat of new competition
· Threat of substitute products or services
· Bargaining power of customers (buyers)
· Bargaining power of suppliers
· Intensity of competitive/industry rivalry
Although your analysis will be tailored to your specific
business, be sure to cover the following:
1. A thorough Five Forces analysis of your industry
2. The key factors and trends in any other areas affecting your
industry
3. A preliminary classification of the external factors and trends
as either opportunities or threats which will be the inputs for
the final SWOT analysis
Write a 3-page report in Word format. Apply APA standards to
citation of sources.
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Running Head MARKET POSITION ANALYSIS1MARKET POSITION ANALYSIS.docx

  • 1. Running Head: MARKET POSITION ANALYSIS1 MARKET POSITION ANALYSIS2 Module 2, Assignment 2: Market Position Analysis Scott Jackson Solution s to Organizational Challenges B6028 September 4, 2012 · Describe the target customer for the product/service in terms of relevant characteristics that impact the marketing strategy, including location (how it is reached) and buying habits. The company Disneyland Paris provides entertainment, relaxation joints and dining places for its customers. Its target customers are from all over the world and of all age groups but due to the high price of the tickets as per their standards, the firm has used the niche strategy of segmentation whereby only individuals of a certain class can have access to certain
  • 2. services; those of high social status. Those of middle level incomes can also access some of these services as the pricing strategy used allows for this; revenue centered pricing strategy. This strategy has also been used whereby the charges for customers of French origin are much lower compared to those of other customers such as British customers. The use of several languages in booking the tickets to access the services of the firm is also a way of attracting a wide range of clientele from different regions of the world (Clavé, 2006). Additionally, the location of the firm is one that portrays the perception of a high society range of clientele; Paris is known to be a prestigious city especially for it fashion and high celebrity composition and this makes it expensive, therefore, the targeted customers for Disneyland Paris are mostly high people in all societies of the world although the average person can also access some services and products. In terms of the buying habits, the firm can be said to be targeting customers of French origin more as the prices charged to them seem to be considerably lower. This can also be a strategy to attract more customers of French origin to use their services through the high discounts as the firm is in their country; France (Aaker & McLoughlin, 2010). · Identify each customer segment’s specific wants and needs. Explain why they buy your company’s product or service, or a competing product or service.
  • 3. There are several customer segments in Disneyland Paris and these vary according to the levels of income, age group and social status. There are those who visit the theme parks and expect to get a lot of amusement and entertainment through visiting popular thematic parks such as the Santa Claus Land; this is for all age groups and the all level of income earners (Doole & Lowe, 2005).Those who visit retail centers expect to get the commodities that they are looking for and at fair prices; this is mostly for the high society as they are quite expensive; those who visit dining places expect high quality and delicious dishes and cuisines; those who visit hotels expect quality services and finally, those who visit the entertainment center expect a lot of interesting and entertaining features or films. The main reason why these customers buy the products or services of Disneyland Paris is to get original entertainment at the most popular city and to have a taste of entertainment at the source. That is why these customers pay such high prices to get these services and products (Aaker & McLoughlin, 2010). · Justify how well your product/service satisfies customer wants and needs. Identify any wants and needs that are not met by your product/service. By visiting the theme parks at Disneyland Paris, the customers get first hand entertainment whereby children can play and older people can interact and get entertained by visiting the places that are iconic for famous movies such as the sleeping
  • 4. Beauty castle. Through the hotels and fine dining places, customers’ dining needs are satisfied and fulfilled through the fine cuisines. Finally, customers also get to have a taste of glamour and elegance that is associated with Paris through visiting the retail store at Disneyland Paris (Doole & Lowe, 2005). · Analyze your product’s position in relation to the competition. Identify 3–5 main competitors. Explain how your product differs in terms features, function, quality, price, availability, brand image, etc. Explain why this differentiation is important to your customers. Disneyland Paris has a high market position compared to its competitors. This is mainly because of its brand name and its diversification strategy. Its main competitors are; Time Warner Inc., AOL Inc., CBS Corporation and also DreamWorks. Compared to the other competitor firms, Disneyland Paris offers first class services that have special features such as the popular Cinderella castle which is behind the popular short stories and films of Cinderella. In terms of the brand image, Disneyland is definitely known for its strong brand image. Additionally, the firm offers high quality services through its high quality hotel services, and friendly booking services that seek to serve a wide range of clientele in many different languages. This differentiation is important in helping the customers to learn about the various products and services offered by the firm and
  • 5. in providing information about the convenience of Disneyland Paris for all customers who seek high quality services and entertainment (Munos, 2003). · Describe the source of competitive advantage for your product. Evaluate sustainability of this source of advantage. The main source of competitive advantage for Disneyland is its strong brand name. The sustainability of this firm’s brand name lies in continuously providing quality and worthy services and products to customers. Consistency is a very hard thing to maintain in a business but when it comes to protecting the firm’s main source of competitive advantage, it is very crucial to do everything to keep the firm at the top of its competitors (Duron, 2009). · Assess the long-term sustainability of the source of differentiation and competitive advantage. In terms of the long term sustainability of Disneyland’s source of differentiation and competitive advantage, a lot can be said. The firm needs to come up with strategies to continually protect its brand image, to protect the various products and services offered by the firm and to continually improve them in terms of quality and fair prices to suit all customer segments. Therefore, how long these differentiation strategy stays on top and the how long the firm will have competitive advantage over other firms will depend on how it will continually be strategic to retain the current customers and to attract more (Doole & Lowe, 2005).
  • 6. · Apply the five “P’s” of marketing to your product analysis. In terms of the product, the firm offers a wide range of products and services ranging from theme parks, hotel services, dining services and hotel services. These products and services target all customer segments including the different age groups and people of different income levels. The price charged by Disneyland covers all customer segments as there are products and services for the high income earners and also for the average customers (Duron, 2009). The price set is also appropriate to cover the operating costs of the firm and to ensure that it can still continue operating with some level of profits. As for the place, the firm is centrally situated in Paris at a convenient place that is easily accessible. The firm uses the promotion factor of the marketing mix to create awareness of their products to the customers through massive advertising over the internet and billboards. As for people, this P explains how the knowledge and skills of the firm’s employees can help it to achieve the set goals and help it obtain a big market share (Duermyer, 2012). Conclusion Disneyland Paris can be said to a firm that has improved overtime due to application of relevant strategies to protect its market share. The differentiation strategy is the most utilized strategy in this firm and therefore if other firms place their focus on crafting practicable strategies, their firms can prosper
  • 7. as well. A firm’s strategy and continuous improvement is therefore very crucial to the success of any firm. After interviewing the three managers on their views concerning Disneyland’s value proposition, market position, and competitive advantage, two of them agreed that the firm is a market leader especially in the entertainment industry, but not in terms of the other products such as the hotel business as there are other market leaders in that field. The other manager was of the view that Time Warner Inc. was the market leader. In terms of the value proposition, two managers were of the view that the firm appeals to most of its clients because of its commitment to providing quality entertainment and its diversification strategy of offering a wide range of products and service. The other manager was of the view that the firm’s value proposition lies only in its strong and popular brand name. In terms of the competitive advantage, the three managers agreed that Disneyland Paris gets its competitive advantage through its strong brand name which has helped it to make a lot of sales and to attract and retain many customers and thus staying ahead of its competitors. References Munos, T. (2003). Decline of the Masterbrand. President and CEO Magazine. New York: Marriot. Duron, M. (2009). The 5P’s of marketing.Duermyer, R. (2012).
  • 8. Marketing Mix. New York: The New York Times Company.Doole, I., & Lowe, R. (2005). Strategic marketing decisions in global markets. London: Thomson Learning.Clavé, S. A. (2006). The global theme park industry. Wallingford, Oxfordshire: CABI.Aaker, D. A., & McLoughlin, D. (2010). Strategic market management: Global perspectives. Chichester: Wiley. Respond to the following discussion questions: 1. Discuss the role and importance of good listening skills in cross-cultural communication. 2. Discuss communication challenges unique to groups and teams. Your initial response to each discussion question should be less than 150 words—excluding the APA references and in-text citation for sources, if used. Be concise.
  • 9. External Environmental Scan In order to develop effective strategies, it is critical to understand the marketplace environment. In this assignment you will explore the relationship between marketplace positioning based on environmental factors. Throughout this capstone course, you will work on a strategy audit for a selected organization (EuroDisney). In Module 1, you selected an organization for your course project activities. So far you have completed a market position analysis for your organization (see attachment on EuroDisney). In this module you will conduct a comprehensive external environmental scan of your business unit, including a Five Forces analysis, to identify the relevant trends that pose opportunities or threats to your business. These will serve as inputs into a final SWOT analysis that will be due in Module 4: Assignment 2. There are many elements that can go into an environmental scan, and your analysis will depend on the nature of your business unit, product portfolio, target market, and other factors related to the scope of your business. Your environmental scan should include some or all of the following elements: · Economic factors and trends · Political factors and trends
  • 10. · Regulatory and legal factors and trends · Societal factors and trends · Technological factors and trends · Geographic factors and trends · Porter’s Five Forces that consists of the following aspects: · Threat of new competition · Threat of substitute products or services · Bargaining power of customers (buyers) · Bargaining power of suppliers · Intensity of competitive/industry rivalry Although your analysis will be tailored to your specific business, be sure to cover the following: 1. A thorough Five Forces analysis of your industry 2. The key factors and trends in any other areas affecting your industry 3. A preliminary classification of the external factors and trends as either opportunities or threats which will be the inputs for the final SWOT analysis Write a 3-page report in Word format. Apply APA standards to citation of sources.