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Case study Chapter 8 – The widening divide between Myer’s and David Jones’s niche markets
Q1 What competitive advantage(s) do you think Myer and David Jones each have? Do you think, given your answer, that each chain’s strategy is appropriate?
I think the David Jones’s strategy is probably the focus strategy which targeting on the upmarket, and case on Myer is just similar but it is aiming on the market of house-brand and mass market, which means that Myer is trying to differentiate the market from the one that was same as David Jones’s. The advantage of David Jones’s strategy is that the focusing on a specific industry segment and there is no need to serve the broad market, so it gains a differentiation advantage. Myer widely changed its market aim to more areas in mass market, it could benefit itself by attracting more customers, saving expenses for competing with David Jones, in addition, it provides products in higher qualities than the its new competitors – Target and Kmart, etc.. In my opinion, both of their strategies are appropriate, and could benefit themselves. …show more content…
I would say it is probably stuck in the middle because it seems that Myer wish to lower the cost of goods, but obviously it couldn’t be the lowest, and it increased the variety of goods by extend the market to the mass market, this gives itself more common product but less differences to the