A small company in a tightly-contested market discovers that their closest competitor's sales reps have been saying negative and untrue things about the company's products and service to their main customers.Their longest customer calls the company's CEO,concerned about these claims,and the CEO realizes that the company is in danger of losing business from these claims.What should the company do?
A)Take out a full-page ad in the local newspaper disputing the claims with facts and stating that the competitor has been lying to customers.
B)Talk to its customers in person to give them the facts and research that show the truth,and telling them to ask for the competitors' claims in writing before they believe anything
C)The CEO of the company should call the CEO of the other company and divide up the local market so no one has to engage in duplicitous sales tactics anymore.
D)Take the other company to court for slander unless they issue a full public apology.
E)Engage in a counter-information campaign to spread negative information about the other company as a means of evening the playing field.

Question

Quizplus · Accepted Answer

Talking to customers in person and giving them the facts and research that show the truth is the best option in this situation. It allows the company to address the issue directly with their customers and build trust by providing evidence to support their claims. Asking customers to ask for the competitors' claims in writing before believing anything is also a good strategy as it forces the competitor to be accountable for their statements. Taking legal action or engaging in negative counter-campaigns can be expensive and time-consuming, and may not result in a positive outcome. Dividing up the local market with the competitor would also not be a sustainable solution in the long term.

A Small Company in a Tightly-Contested Market Discovers That Their