Answer:
Product adaptations:
Product adaptations (also called differentiation or localization or customization) come in several forms. Marketing strategies in a country- by-country basis are tailored with the peculiarities of the local market. By this, product adaptations are considered as necessary strategy in order to cater to the different needs of customers in various countries.
A high level of adaptation is likely to become difficult to coordinate the network of activities by the multinational in a global scale. Mandatory adaptations involve changes that have to be made before the product can be used, For example, appliances made for the U.S. and Europe must run on different voltages, and a major problem was experienced in the European Union when hoses for restaurant frying machines could not simultaneously meet the legal requirements of different countries.
In some cases, products may not need to be adapted in either way (e.g., industrial equipment), while in other cases, it might have to be adapted in both (e.g., greeting cards, where the occasions, language, and motivations for sending differ). Finally, a market may exist abroad for a product which has no analogue at home. For example, hand-powered washing machines.
Product standardisation
Product standardisation (also called globalisation) involves making one global product in the belief the same product can be sold across markets without significant modification. This concept has become more meaningful because of the growing trend by multinational corporations to outsource components in order to gain economies of scale.
By having standardized components, economies of scale are achieved by the firm while products are adapted to offer a wide range of models in accordance to the needs of various country segments. The major constraints on product standardization include the consumer preferences and the governmental and trade restrictions.
Benefits to Standardization includes Firms that produce a global product can obtain economies of scale in manufacturing, and higher quantities produced also lead to a faster advancement along the experience curve. Further, it is more feasible to establish a global brand as less confusion will occur when consumers travel across countries and see the same product.
Product Positioning
Product positioning is a strategic exercise that defines where your product or service fits in the marketplace and why it is better than alternative solutions. The goal is to distill who your audience is, what they need, and how your product can uniquely help. Product positioning is the basis of your marketing story.
Your ability to articulate the key benefits of your product and the problem it solves is critical to business success. But you may find yourself in a company where product positioning strategy is not well-defined. Maybe this is because there is unclear ownership or an ever-changing vision. Dig deeper and you may realize that you can lead a collaborative effort to fine-tune the positioning. Your colleagues in sales and marketing will likely be strong advocates of this work — effective positioning makes it possible to craft meaningful messages and create even more value for customers.
Product positioning is made up of core building blocks that explain your product’s unique value. After you have completed your customer, market, and product assessments, you can define your product positioning, align the broader team around core messaging, and build a product marketing plan.
Product Segmentation
Product Segmentation helps you to streamline your product offerings to a specific target market, which allows you to be more profitable. At the same time, by offering options to more people, you’re able to distribute the risk of selling high-cost products across different target markets.
Product segmentation provides a mechanism for a company to distribute the risk of selling a high-cost product across different target markets. Instead of having one product with one market and one supply-and-demand curve — essentially putting all of the manufacturer’s eggs in a single basket — the manufacturer can sell sister models of the product at different prices to different market segments. Even if one segment reacts poorly, another segment may respond better than expected. In addition, segmentation allows for economies of scale. Although there are differences associated with manufacturing toasters, for example, it’s easier for a company to sell five different types of toasters than to sell one type of toaster, one type of dishwasher and one type of foam-rubber action figure.
The goal of a well-executed product segmentation strategy is to sell more products to more people at lower marginal production costs. As sales progress, marketing professionals can evaluate the profitability of individual items within the product family to identify opportunities to discontinue specific products or to further refine the segmentation model. If a particular product outperforms expectations, marketing analysts can learn what worked and apply the lessons to other products.
