How products are developed to preserve competitive advantages

Sustainable competitive advantage is the center point of a corporate strategy. It allows the maintenance and improvement of any enterprise's competitive position in the market. It is an advantage that permits business to make it through against its competition over a long time frame. A competitive edge is an gain over competition gained by offering consumers better value, either by means of lower prices or by giving higher benefits and service that justifies higher prices. When a firm sustains earnings that exceed the common for its industry, the firm is thought to have a competitive gain over its rivals. The purpose of a lot of business strategy is to accomplish a lasting competitive benefits.

Michael Porter recognized two basic types of competitive benefits cost advantage.

A competitive advantages is present when the organization can deliver the same benefits as competitors but better value (cost benefit), or deliver benefits that exceed those of contending products (differentiation benefit). Thus, a competitive gain enables the organization to create superior value because of its customers and superior revenue for itself.

Cost and differentiation advantages are known as positional advantages since they express the firm's position on the market as a head in either cost or differentiation. A resource-based view emphasizes that a firm utilizes its resources and features to make a competitive benefit that ultimately results superior value creation. The next diagram combines the resource-based and positioning views to illustrate the idea of competitive edge.

Chief Burger is the marketplace leader in providing different products like Burger and Pizza as there are no competitors in this sector. There good image makes the organization more strong. Chief Burger offers good style, quality products with experienced personnel, good atmosphere and hygienic environment. They can be customized in Burgers. Inspiration level of personnel is high which make the organization more prosperous. These are ISO (International Standard Business) certified. They have enough resources for working different activities of the business. They have got created good image in customers mind another big Power and a good Competitive Edge is the fact that they have a complete service restaurant as a result of restaurant; Main Burger can market too many different sections that other restaurants cannot do. For example, Key Burger can market to families easier than Shiraz yet others because the majority of the Peshawar people aren't good financially so they can appeal to even more young families by their low prices with good quality foods. They may be providing high selection of products comparatively with low prices.

Explain how distribution is arranged to provide customer convenience

Distribution in marketing acts importantly to attract customer's convenience therefore; the system of syndication of a business can show the key ability for the business. Distribution is under the band of place and therefore organizations build-up a precise circulation method so that it's easily accessible to the clients and it can improve possible sales for a business. For instance if Pepsi does not work on its syndication services and Pepsi containers are just accessible at their factories then consumers might not be enthusiastic to get them. It's more well suited for the consumer to acquire Pepsi from a near by retailer when compared with getting it from manufacturer. Therefore circulation system of a business can be both its weakness and strength. Companies in current circumstance ensure that their distribution route should be strong so that their product is available where there is need. It ought to be easily accessible to the customers. For this purpose the center man performs an important role. Middle man is actually the source where companies distribute their products in market. Companies make sure the option of their products at shop retailers and stores where customers can simply purchase it.

Explain how prices are established to represent an organizations aim and market conditions.

Most companies now realize the fallacy of cost-based prices and its unfavorable effect on revenue. They realize the necessity for costs to indicate market conditions. As a result, many took pricing authority from financial managers and given it to sales or product managers. In theory, this pattern is clearly regular with value-based prices, since marketing and sales are that area of the organization best situated to comprehend value to the client. Used, however, the misuse of pricing to attain short-term sales aims often undermines identified value and depresses income even further.

The purpose of value-based costing is not simply to make satisfied customers. Client satisfaction can usually be bought by discounting sufficiently, but marketers delude themselves if indeed they believe that the producing sales symbolize marketing successes. The goal of value-based costs is to price more profitably by recording more value, not necessarily by making increased sales. When marketers confuse the first target with the second, they fall in to the trap of costing at whatever clients are willing to pay, alternatively than at what the product is really worth. Although that decision permits marketers to meet their sales targets, it invariably undermines long-term profitability.

Pricing Strategy of Main Burger

The level of competition an enterprise faces can determine its costing strategy. Sometimes a business has the scope to create its price and sometimes a small business cannot. Whenever a business has the scope to set its price there is a number of charges strategies or procedures it might choose. As there are no such competition of Main Burger which could compete with the quality of Chief's Burger produced at Chief Burger, which means pricing strategy used by Key Burger is 'market skimming'. Main Burger has implemented this charges strategy as they want to hold maximum share of the marketplace by maximum revenue. This is a golden age for Chief Burger as there are no opponents and hence, Main Burger is absolve to bill any price they need. They can be charging lower prices due to the daily sales of the merchandise. They satisfy the prospective market as the food quality is worth the purchase price paid. The rates strategy is not just to receive the worth of quality but also to get maximum income before any rival enters because then Chief Burger will have to change its costing strategy like more lower although the prices would be decreased with the new entrants in the market however, not to a greater extent as the quality food products are made by Chief Burger

Illustrate how promotional activity is included to attain marketing objectives

These activities are performed to be able to awake and aware the consumers about the product.

Promotion being truly a feature of marketing combination includes communication among the buyer and supplier of that product. Thus it's also identified as marketing communications. Promotional activities are important factor since it tells the consumer about the product from different parts and it becomes quite difficult in selling a product if they're not being expected on the market through different promotional activities.


In modern times consumers of OLPER'S milk have improved here in Pakistan and therefore it has now acquired enough market stocks in Pakistan. The major purpose behind all this is the mass media coverage of OLPER'S milk Ads and for this reason communication of OLPER'S milk is being transferred to every specific and group living in Pakistan.

While reading marketing we largely come across a word marketplace which is an important main factor for a firm while promoting its products. Campaign includes different phases from which we described some of them that how to perform aspire of target market through different promotional activities. A number of the actions used for promoting something are as follows:

Mass press like newspapers, pamphlets, magazines, Television set, Radio, billboards, banners, internet etc.

Publicity through different ways like Billboards, banners, internet etc.

Specific branding and trademarks.

Promotion of sales likely through real estate agents, wraps etc.

Public Relation Department

Promotion Mix

There are four essential characteristics of promotional mix



Sales Promotion

Personal Selling


It's a paid appearance of communication of thoughts and goods within "leading multimedia" like newspaper publishers, posters, and cinema etc. Advertising is done to be able to influence and inform its visitors.


Publicity is campaign which is done by non-personal communication channel which is finished by unrevealed supporter or it's a way of broadcasting information to attain public awareness.

Personal Advertising:

Personal selling in another of the victorious way to keep good customers relationships. A sales rep of the company work behalf of these and they're well skilled in approaches and types of procedures of personal advertising, but this technique is expensive.

Sales Promotion:

It is the fourth portion of promotional mix. It is a system assumed by the business in order to encourage a sufficient enlargement in sales, utilization or test of something. For instance Buy-One-Get-One-Free, CRM, New Advertising, Free gifts, Savings prices, Free Samples etc "Direct Marketing" which is often detailed as fifth part of marketing combination and "Sponsorship" is added as the 6th aspect.

Promotion and MARKETPLACE:

The promotional actions performed by the organizations are done accordingly to their marketplace. A specific targeted market is attained through some certain promotional movements. It could be understood with the example of fertilizers companies more regularly use T. V and radio for their promotional activities because people living here don't have those facilities like Internet, billboards etc therefore promotional moves are done is order certification of the mark market.

Marketing Mix Designed in Chief

Chief has designed its marketing mixture on demographic basis. Here's justification of the 4P's of Key.


The products which key offers are quality products and "it offers a broad and numerous menu to customers specializing in quality burger & hen products". They provide products which have appeal to all ages and tastes. Their products have got preference and quality which is the requirement of every customer.


As price is combination of cost and earnings. Chief has a plus point over its competition due to prices because the price it charges is really affordable or reasonable when compared with its other competition like KFC and Pizza Hut etc. That is why Key has greatly widened its network of consumers. Presently it does more business than the other international food chains in Peshawar.


Chief has not made special requirements for its promotional activities but it can promotion and its own promotional activities are done through internet and bill boards and yet another thing word of mouth plays important role in promotion of main restaurant.


Chief has only a single outlet in Pakistan and it's really in Peshawar. As it's located in the center of the city in an exceedingly lucrative place of Fawad Plaza on Jamrud street therefore it is focused to local areas like college or university town, Hayatabad etc. They have put itself at a good location as it is covering a maximum area. Chief is located at the heart of the town so it is easily excess able. Also in in close proximity to locality there are extensive office buildings and shopping stores from where people come here and enjoy quality meal in a nutshell time.

Analyze the excess elements of the extended marketing mix


The employees in Chief Burger have a typical uniform and Chief Burger specially targets friendly and prompt service to its customers from their workers. The employees are part time workers and regular workers (not really a insurance plan). The aprons of the employees distinguish them as Chief Burger personnel.


The food production process at Chief Burger is translucent and concealed (the whole process is not obvious to the customers).

Physical Evidence

Chief Burger focuses on clean and hygienic interiors of its outlet stores and at the same time the interiors are attractive and the principle Burger maintains a proper etiquette at its bones. The look, furnishing, lighting, design and decoration of the principle Burger string as well as the looks and attitudes of its employees will effect customer perceptions of the service quality and experiences. Now another component of the service experience could possibly be the Eviction Model which illustrates the many invisible and visible factors which affect the customer's experience.

Recommend marketing mixes for just two different segments in consumer markets

New Product Development

In this part we've developed a fresh product. The product can be an Energy drink by the name of "STROKE". We've designed the marketing mix of our product which is in detail below:



Stroke is an extremely fresh and scrumptious energy drink which has never been produced yet. This new and fresh drink was created to provide the consumers with enthusiastic feel with flavor as well. Lemon flavour with salt provides very fresh and enthusiastic style to the consumers.

Product Size:

Stroke comes in two different sizes of 250ml and 300ml bottle.

Product Goals:

This drink is principally for the teenagers who drink other carbonated drinks which are triggering harmful affects to their health. So they need to utilize this new drink which is free of these carbonates.

Product Differentiation:

Stroke differs from other energy beverages based on bottle design, shape and taste. The design of the container provides very sporty look which appeals to youngsters.


Price of Heart stroke is affordable when compared with its major competition. Its 300 ml bottle is ideal for Rs 80 and 250 ml bottle is good for Rs 60. This price is very much indeed reasonable as compared to their rivals. Other major energy drink brands are charging 140 to 150 Rs per bottle /cane.

Price Persistence:

This is indeed a very important factor. In case of Stroke price is determined on two bases:

Keeping at heart the existing competitor's price level.

Calculating the price on the product.

Price Preparing:

After determination next thing is price setting up. In case there is Stroke we've set the purchase price remember the buying ability of the customers. We have computed the cost which includes ingredients and product packaging of the merchandise. Adding the profit margin we have place the price.


For something of such high standards like Stroke it needs good promotional activities. For this purpose we've chosen following promotional tools:


For advertisement we've used different types of multimedia like television, magazine, newspapers, internet and radio. Though it requires a lot of cash but still we live doing our best to get this to product popular to each and every person. For this purpose we have tried our level better to use our resources to the best of our capabilities.

Word of Mouth area:

We also have used this tool of advertising to much level. People who are using our product are sharing with others to try out this and in this way our product is getting promoted.


Placement has a significant role to learn in the products success and failure. We have made sure that our product is put in such a way in market that it is in reach of every customer. We've made our circulation channel quite strong and our product is available on maximum stores in the town. With waste circulation we make sure that our product is available for our customers constantly whenever they want to buy.

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