According to Coach's Website, the Company Has Built a Distinctive

question 51

Multiple Choice

According to Coach's website, the company has built a distinctive style and prestigious image over the past 40 years to develop a reputation as "America's preeminent designer, producer, and marketer of fine accessories and gifts for women and men including handbags, business cases, luggage and travel accessories, wallets, outerwear, eyewear, gloves, scarves and fine jewelry." Coach employs a multi-channel distribution channel to reach its customers, including company-owned stores and boutiques in the stores of prominent specialty retailers both within the United States and abroad, and the company operates an online store. Consumers who purchase coach products are generally willing to pay the premium price due to the superior quality of Coach's products as well as the perceived prestige of owning a Coach product. Coach stresses these features in its advertising campaigns and regularly allows movies and television shows to favorably feature Coach products in appropriate scenes. Over the last five years. Coach has partnered with automobile manufacturers such as Lexus to produce automobiles with Coach interiors. In an effort to expand its international reach, Coach intends to increase its international distribution and is expanding into Japan through Coach Japan, Inc., a joint venture with a local company that will allow Coach to control international distribution and to maintain a consistent brand strategy domestically and abroad.
-The price premium that customers are willing to pay for the superior quality and perceived prestige of Coach's products over the prices of similar products are known as

• A) marginal prices.
• B) hedonic prices.
• C) heroic prices.
• D) elastic prices.

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Definitions:

Cultural

Relating to the ideas, customs, and social behavior of a society or a specific group of people.

Understand User

The process of gaining deep insights into consumer behaviors, needs, and motivations to improve user experience.

Relational

refers to dynamics or processes concerning the ways in which two or more entities relate or connect to each other.

Branding Approach

A strategy or method by which a company establishes its brand identity and differentiates itself from competitors.