Question no.

2: How can customer choices between services in their consideration set to be

modeled?
Answer: The role of consumer attention sets in modeling consumers' choices among distinct
alternatives. Much of the marketing study treats formation of a consideration set as the first step
in a two-step choice process. The second step of this process consists of choosing an alternative
approach from the consideration set. Only considered alternatives can be chosen. This question
represents evidence that operational consideration sets are simply indicators of preferences. For
the choice settings we investigate, choice need not be modeled as a two-step process in which a
consideration step precedes choice. Modeling choice this way may lead to an unspecified model
that makes erroneous forecasts services. However, data on consumers' consideration sets can
provide an analyst with information about likings that may be used to increase the efficiency
with which the parameters of a choice model are estimated. Here we take the example of
McDonald and KFC. The both can be considered as the alternatives regarding the services for the
consumers. As both brands are making products of the same categories but if a customer is not
satisfied with the brand A, he/she has opportunity to switch to the brand B.

Question no. 8 Find examples of companies that illustrate the four focused strategies
discussed in this chapter.

Answer:

1. Fully focused strategy:

Company that will provide limited range of services to narrow targeted customers.

For example:

 Cardiac Hospital Lahore

 GEO forensic lab for DNA

Cardiac Hospital Lahore:

Punjab Institute of Cardiology offers quality tertiary care to heart patients. PIC trains post
graduate doctors and paramedics in addition to support the rest of the cardiac hospitals in the
Punjab. Moreover, they run awareness campaigns to educate the masses on precautionary
measures towards heart diseases. The range of services available for inclusive treatments include
a 547 bedded hospital, all relevant diagnostic tests, interventional and operative procedures and
concentrated cardiac care units.

GEO forensic lab for DNA:

Management teams of Punjab Forensic Science Agency with all its workers are devoted to
sustain value of laboratory services and certify that its services fully meet the needs and wants of
the customers at all time.

2. Market Focused Strategy:

A firm that concentrates on a narrow market segments but offers a wide range of services.
For example:
 OLX

OLX:

OLX is one of the world’s fastest rising networks of trading platforms, operating in 35+
countries all around the world. The provide services by helping people to buy and sell cars, get
jobs, find housing, buy and sell household goods, and much more. With more than 20 local
brands, their solutions are built to be safe, smart, and suitable for the customers. They are driven
by a team of 10,000+ people, working across 5 continents in offices all around the world. They
love to value their customers.

3. Service Focused Strategy:

A firm that offers narrow range segment market but serve to a fairly broad market.
For example:
 Kings Burger
 Pizza Hut

King’s Burger:
Many people visit king’s burger restaurants. As are known for serving high-quality, great-tasting,
and affordable food. Burger King is the second largest fast food hamburger chain for serving
their customers at broad market.
Pizza Hut:
Pizza Hut is a brand which is available in fast arrangement at several motorway service areas.
Shell lately reintroduced Pizza Hut Express to their location. All restaurants provide customers
with a calm dining area which includes a free Wi-Fi with fast internet connection. They can also
watch entertainment channels while enjoying their meal. Restaurant team will deliver with the
best customer service in town that will let people enjoy your pizza within 15 minutes of ordering
it. They also serve take away and home delivery services.
 4. Un-focused strategy:
It is a strategy that requires them too thin to remain its competition.
For example:
 Hyper star Carrefour
Carrefour controls different hypermarket and supermarket stores to meet the growing needs and
wants of its varied customer base. It is committed to satisfying its loyal customers and offering
services to a unique and enjoyable shopping experience through special offers and promotions
throughout the year.