Dell Found That It Had to Suspend Its Direct Model

question 98

Multiple Choice

Dell found that it had to suspend its direct model in India for a temporary period because it needed local intermediaries to help develop both a base of business and acceptable levels of customer awareness and sophistication.This is an example of:

• A)an organization increasing its horizontal scope.
• B)diversification.
• C)a cost-leadership strategy.
• D)international strategy accommodating local environments.
• E)an organization operating in a flat world.

Understand the concept of brand positioning and its importance in marketing.

Identify and explain various tools and techniques used for brand positioning.

Describe how customer perception influences brand positioning.

Explain the difference between positioning statements and other types of strategic statements.

---

Definitions:

Price Floor

A government- or body-imposed price control or limit on how low a price can be charged for a product.

Surplus

The situation in which the quantity supplied of a product exceeds the quantity demanded at the current price.

Law of Supply

A fundamental principle of economics that states that, all else equal, an increase in price results in an increase in the quantity supplied, and vice versa.

Law of Demand

States that, all else being equal, as the price of a product decreases, the quantity demanded of the product will increase, and vice versa.