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Smaller companies like Jones-Blair compete on quality differentiation by producing high quality, regionally specific paint products. The market consists of three primary segments, do-it-yourself painters, professional painters, and contract painters. The do-it-yourself painters desire a “covering” paint at a low price and view quality as an order qualifier, not an order winner. Contract painters are even more price sensitive, viewing paint as a commodity, seeking the lowest possible price for large scale projects. Professional painters rely on the quality of the paint they use to augment their reputation, so quality is of critical importance in the paint products they purchase...
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- Recommend how Dell should react to slower growth and increased competition in its core market segments. Explain how your new or modified positioning strategy enables Dell to leverage some of its existing advantages.
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