Positioning That Involves Competing Directly with Competitors on Similar Product

question 32

Multiple Choice

Positioning that involves competing directly with competitors on similar product attributes in the same target market is referred to as

• A)competitive repositioning.
• B)position downsizing.
• C)differentiation positioning.
• D)head-to-head positioning.
• E)product distinction positioning.

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Definitions:

Effective Collusion

A situation where firms in a market agree to act together instead of competing, often to fix prices or market shares, to maximize their profits.

Marginal Revenue

The additional income gained from selling one more unit of a product or service, crucial in determining the optimal level of output for a company.

Marginal Cost

The extra expense associated with manufacturing an additional unit of a product or service.

Oligopolistic Firm

A company operating in an oligopoly market structure, characterized by a few firms dominating the market, leading to specific behaviors like pricing collusion or competition.