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competing on price

Thursday, August 26th, 2004

the dumbest thing to do in a competitve environment is to compete on price (that was one of the first lessons in marketing during my MBA – along with: if you are the market leader don’t compare yourself to the runner ups or mention them in your ads!)

fred wilson has an interesting post on the topic: A VC: Competing on Price

this entry was posted on Thursday, August 26th, 2004 at 17:53 and is filed under business. you can follow any responses to this entry through the RSS 2.0 feed. both comments and pings are currently closed.

2 responses to “competing on price”

  1. helge says:
    October 29th, 2004 at 13:01

    there’s a good example that this rule always doesn’t have to be true: the small austrian mobile network operator telering has successfully 1) gained market share, 2) increased their subscribers’ ARPU (among the highest in the market!) and 3) achieved a strong positioning (see also http://www.report.at/artikel.asp?kid=1&mid=1&aid=5325) by exactly that move: reduce price notably and communicate that effectively (see http://www.helge.at/archives/00000054.php).

  2. joerg says:
    October 29th, 2004 at 14:28

    here is my reply: http://www.helge.at/archives/00000054.php#comments