Some Timex wristwatches can be purchased for less than $30; some Rolex wristwatches carry a price tag of several thousand dollars. In general, consumers view Timex watches as being dependable, relatively accurate, and inexpensive. The Rolex brand tends to be perceived as an expensive status symbol. Timex watches can be purchased in drug stores, discount stores, and department stores in all sizes of Communities. Rolex watches are distributed more selectively, and are often available only in fine jewellery stores or specialty shops. By using distinctly different pricing And distribution strategies, the marketers of Timex and Rolex watches have attempted to:
A)use a product differentiation strategy.
B)compete for the same segment.
C)develop similar products.
D)build customer loyalty through direct competition.

Question

Quizplus · Accepted Answer

The marketers of Timex and Rolex watches have used distinct pricing and distribution strategies to differentiate their products in the market. Timex is positioned as a dependable and affordable brand, while Rolex is positioned as a luxury and status symbol brand. This is an example of product differentiation strategy.

Some Timex Wristwatches Can Be Purchased for Less Than $30;