eMarketing: The Essential Guide to Online Marketing

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switching to a competing product as there are less likely to be high costs associated with doing so. Perhaps
most importantly, the bargaining power of end users is increased as they have greater access to
information when making a purchase decision.


Often, the Internet migrates competition primarily to price. [1] This means that organizations seek to
attract and retain customers solely through offering services and goods at a lower price, though this is not
necessarily the best strategy for companies to follow. Strategic differentiation comes from the value that a
company can provide to a consumer.


Figure 19.4 Porter’s Five Forces
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