Автор работы: Пользователь скрыл имя, 22 Февраля 2014 в 20:43, дипломная работа
Through market pricing mechanism continuously provides business information on changes in the market, the emergence of new conditions, etc. It affects all market participants, forcing weak entrepreneurs and rewarding the strongest using various methods of competition. Competition is effective mechanisms for competition in the market. It acts as a coercive power, forcing entrepreneurs to fight for an increase in return on capital by seeking new forms and methods of production, use of new technologies, new ways of organizing, managing the provision of new services. The purpose of the study - to explore the essence of non-price competition.
INTRODUCTION 4
1. The essence of non-price competition 6
1.2) Methods of Non-price competition 10
1.3) Forms of manifestation of non-price competition 15
2) NON-PRICE COMPETITION ON THE EXAMPLE OF “EXCLUSIVE” COMPANY IN SAINT PETERSBURG 18
2.1) ISO9000 Certification 20
ConclusionS 23
REFFERENCES 24
It is alleged that the advertisement promotes monopoly. On the one hand extensive advertising creates financial barriers to entry and thus enhances market power, which firms already possess. Moreover, developing a commitment to a certain brand name, consumers are becoming less sensitive to lower the prices of their competitors, thereby increasing monopoly power, which has a firm that advertises its product.
Advertising - one of the main elements of a market economy and non-price competition. It performs the following tasks:
a) Inform the consumer of a product, and it costs the advertiser economically viable;
b) Increasing the demand for goods and increases the pressure to its production, which in turn regulates the prices. Characterized by a situation where the manufacturer, to the minimal profits through advertising significantly increases the volume of products sold, thus speeding up the turnover of their capital and get more profit;
c) Encourage competition, because it sets standards for product characteristics that most attract the consumer
g) Helps the media to remain independent, bringing them some income
All this testifies to the fact that advertising - an integral part of the market process. Many experts believe that the packaging can and should say a lot about the product.
Good packaging facilitates the sale. Product packaging is a "silent salesman". Trading on the method of self-service and open display of goods require that the package itself contributed to selling more than the seller and the salesman tried to convince the retailer to the truth of this proposition. Packaging should attract attention, stimulate interest, create desire and encourage customers to buy. It must "sell" not only the consumer, but also the dealer that the goods were attractive, could be nicely placed on the shelves, took place for the price indication, well maintained transportation, storage and long-term use.
Good packaging informs. She - the main means of transmission of information to satisfy the consumer and call on his part repeat purchase. It should give the client at least the information that he needed for the proper use of the product. For example, if a product - clothes, it must have a label containing instructions for washing, cleaning and ironing, and also include a description of fibers or materials report that sheds whether the material and provide general suggestions for the upkeep.
Packaging should be easily identifiable, to create such a strong impression about the brand to customers almost automatically selected product.
In some industries with strong competition package is specially to attract the attention of buyers more than the product itself. In the food industry, for example, manufacturers often use dual-use package. They put their goods in vessels that are used for a long time after use content. For example, a housewife buys honey certain kind not only because of the content, but also because of the attractive glass in which it is sold.
If on the market there is a new product, for its effective marketing package to stand out, to reflect the novelty, in other words, to emphasize the feature of this product. Thus, driven by sales of goods packaging is advertising to attract buyers.
“Exclusive” company is a large company, which sells tires, disks (cars and trucks), does warranty maintenance, service and makes car engine repair service. 500 employees work in this company. There are 12 spots all over the Saint Petersburg. Some of them even work 24h.
Market of tires and disks is very high, so the competition always exists. All the competitors don’t have such quality service and the variety of products, that’s what helps “Exclusive” to survive in such a big megapolis. Company is always expending by making more trade spots and hiring more quality specialist. All the workers are professionally trained to improve their quality, when new introduction of unique services is made. Comparing with the other companies “exclusive” tries to capture the market and get more potential customers by satisfying their desires and wants. New rules and innovations are always made by the head of directors (packaging, services, and warranty maintenance).
Non-price promotion (“Exclusive”)
- Best service
- Better service and professionalism of staff
- Extras client: delay, delivery
- Creating additional value of the goods
- Innovative packaging
- Warranty maintenance
If managers need to quickly promote a product on the market, they can do so without sacrificing the benchmark or market perception of value. One of the common practices - give consumers free samples or provide a product small group of customers who have influence on the market. Other - provide consumers with free trial period for testing. Both methods accelerate the market penetration of the product without compromising its price points .
(http://faculty.tuck.
https://www.9000world.com/
So you want to buy some product and see that having the ISO 9000 certification makes it. What does this mean for you as a buyer? Does it have any real meaning and is just another publicity stunt to persuade you to buy?
So, in a nutshell, ISO 9000 - a standard quality system. Exact - one of the existing standards of quality systems that get currently the most widespread.
Standards for quality systems were not always. Before were taken first such standards, almost all transactions worth more than a certain amount (thousands of dollars) is entered into only after the consumer himself inspected the plant supplier and became convinced that the supplier is able to produce really high-quality products. Supplier had to withstand a lot of checks from different consumers whose demands sometimes differed significantly from each other, and often contradict each other. Problems were and checking: constant traveling, spending time agonizing search for compromises, etc. However, all this was a necessary preliminary work before the conclusion of the contract - the consumer had his eyes to make sure that the goods will be delivered to him the proper quality.
All this was the presupposition that, in order to simplify the procedure for pre-contract relationships have developed specific standards, which spelled out the minimum requirements for the supplier to be met by the overwhelming majority of consumers. Later these standards today received a familiar name - the quality system standards.
With the emergence of standards for quality systems appeared universal measure of comparison in order to assess which suppliers meet the established minimum requirements and which are not. And even if a consumer has exhibited higher requirements than those provided standard, he would rather prefer to talk to the supplier, who already had a certificate for a standard quality system than anyone else. Those consumers whose demands remain within the standard of quality systems at once could make deals with certified without additional checks.
So, what is" quality system " and why its presence is the manufacturer makes such a difference to the consumer? All the matter is that, in accordance with the system of quality manufacturer organizes its production in a manner that ensures: decline in the share of marriage in the products, the lack of spending on the adaptation, which leads in turn to a decrease in the cost of production (average - 25%) and an increase in trust from the buyers;
Optimization of traffic flows within the production process and reduce the shelf life of blanks and finished goods inventories, which reduces transportation costs and storage costs and, consequently, also in turn, leads to a decrease in the cost of production (average - 25%); use as a means of marketing is not sales, but as a way of knowing what qualities must have products to be competitive.
Thus, the consumer receives from a supplier with a certificate of ISO 9000 better products than from its competitors (at similar prices) or more inexpensive (under a similar capacity) . In addition, of course, products supplier using certified quality system in its production, has a high consumer, because during its production necessarily take into account the views of a large number of consumers.
It is clear that the introduction of quality systems at the supplier is not a local nature. Just the opposite - the certificate ISO 9000 says that the whole structure of the company and its management in general rebuilt so that the output to ensure high quality finished products.
Now that we have a sufficient understanding, which means that the certificate ISO 9000 Manufacturer general, we can consider what the benefits to the buyer who buys such a product.
Thus, buying a product made by the manufacturer that has been certified to ISO 9000 , the buyer has a high degree of assurance that he buys quality solid product that will last him a long time .
Does this mean that any other manufacturer that does not have such a certificate produces lower quality products? Probably not. Lack of a certificate only indicates that the manufacturer or no quality system in its production or the quality system is not effective enough. Otherwise, he would have gone and also received a certificate.
The rest - the case of individual choice of the buyer. Some people prefer a reliable and high quality products some prefer to take risks.
ISO benefits (http://www.iso.org/iso/home/
ISO International Standards ensure that products and services are safe, reliable and of good quality. For business, they are strategic tools that reduce costs by minimizing waste and errors, and increasing productivity. They help companies to access new markets, level the playing field for developing countries and facilitate free and fair global trade.
For business
International Standards are strategic tools and guidelines to help companies tackle some of the most demanding challenges of modern business. They ensure that business operations are as efficient as possible, increase productivity and help companies access new markets.
Benefits include:
The analysis of a non-price competition has shown that the most important methods of non-price competition are advertising, quality, packaging, product differentiation, unique quality service, the warranty maintenance and the excellent customer service. Non-price competition is the method that is based on no price advantage over competitors, and achieves a higher quality technical level of technological excellence, with greater reliability, longer life and other more sophisticated consumer properties.
The most significant aspect of the non-price competition is that the companies try to compete on other methods except price. This gives the main idea that the companies should look at the other aspects of the business such as quality, advertising and customer relationships in order to stay competitive in the market.
Moreover, non-price competition method is implied to enforce the different methods of product differentiation. Differentiation means that the product company has properties that distinguish it from other similar competitor products, which significantly expands consumer choice.
Also, the excellent quality maintenance plays the crucial role in the attraction of the consumers’ attention to the product or the service that a company offers.
Below there are the most significant methods of non-competition strategies such as:
Methods of non-price competition are:
1) Attractive design and advertising products (packaging, style, brand name, etc.) .
2) The best selling system and after-sales service (hire purchase, warranty and service, delivery to your home, etc.);
3) Provision of technical excellence, quality and reliability of the products;
4) Excellent9 quality EX:(ISO 9000)
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