Week Seven EOC: Discussion Questions

Chapter 6

Compare services to products and examine the difference and/or similarities in their branding process.

The service is the core of the brand, the main difference between the service and product is the intangibility of the service, the human element that is not found in the product. The service is usually the sales personnel. In order for a store's success it needs more a space to display merchandise "that is  unique engaging and fulfilling both emotionally and functionally" (Hameide, 177).  Products are very important as well because they need to be able to satisfy the customer needs, stand out and simplify choices for the consumers. It needs to ensure the customer that the product they have received is top quality and the only one in the market even though it is not. It needs to ensure a high level of emotional satisfaction.

Define retail concept and briefly discuss its role in the positioning strategy of a retail brand.

The retail concept is the business model and retail philosophy adopted by the brand. It is similar to what is known as the retailing mix or the seven P's. This is called the service mix, which defines the business model of retail. It is merchandise, price range, location and service it can sometimes include the seven P's which are: place product, price, promotion, people, process and physical environment. "A retail brand needs to compete by establishing an emotional value for its customers built on a strong identity (or experience) so that although two stores may have a similar business model or concept and carry similar merchandise, they may not necessarily create the same level of experience and value to the same customer" (182). 



What are the advantages and disadvantages of franchising as a global growth strategy.

Advantages of a global growth strategy are presenting new growth opportunities for new markets, the business can benefit from diversification, and can be very successful in other markets that did not sell well locally and economic conditions like escaping an economic downturn or benefit from an economic boom. "However, global expansion for retailers comes with many of the same challenges we discussed in a previous chapter, such as foreign exchange fluctuations, taxes, regulations, and political instabilities, as well as shipping risks such as lead time and cost" ( 208).