1. Distinguish between points- of- parity and points-of-difference?
Provide 2 examples to explain these terms clearly.
2. Research and various articles have suggested that MBA programs across the country were going to face declining enrollments in 1990's. They concluded that the PLC for MBA programs was entering the decline stage. However, the latest statistics lead to an entirely different conclusion. MBA programs are in fact reversing the expected trend by reporting increasing enrollments.
What factors (any 2) may explain this phenomena.
frame of reference
In marketing frame of reference is how a new product, service or concept is seen by the target market. A frame of reference can be constructed or manipulated by marketing communicators to appeal to a target market's specific ideals.
Answer and Explanation:
Ans. a. Points of Parity: From the point of view of a consumer point of parity are those set of standards, set by a consumer for his requirements that below that standards they will not consider any product to compare. They will choose only those articles which fall at or above their standards. These are not unique to the brand and may be shared with other brands.
Points of difference: These are those points which a consumer finds during comparing of two or more products. On these points they set there priorities to choose a product by giving them rank. Final selection is made based on these rankings and budget. These are associated with a brand.
E.g 1:- Buying a CAR
Points of parity will be... 1) A fuel efficient car, 2) Warranty period, 3) Availability of easy finance, etc
Points of Difference will be... 1) No. of years of warranty, 2) Low rate of interest on financing 3) Door step delivery, etc.
E.g. 2:- Another simple example could be of selecting a pizza
suppose you want to eat a pizza than there are many popular brands who are selling it even the local vendors but at Point of parity you select those who are your favorite pizza sellers and at point of difference you select that pizza flavor among the range of pizzas which you wanna eat.
Ans. b.Its true that in 1990s MBA was at decline stage of its Life Cycle, but in recent we are seeing a different view for MBA among students. Reasons behind this are-
1) Demand from industry for MBA's: Due to sort supply of MBA professionals Market demand is on high. That is why craze of MBA is growing among students. They are seeing a very good future in this field.
2) Increasing no. of Companies: Due to government aids in last few decades there is a rapid growth has been seen in the setting up of new industries to manage that companies MBA's are required. These are the most common reasons of the rise of MBA course.
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from General Studies Science: Help & ReviewChapter 4 / Lesson 12