For many years,if car owners wanted to make sure that they would not be stranded if their car were to break down,they became members of the Canadian Automobile Association (CAA).Its members also received discounts at CAA-affiliated motels as well as access to maps and a trip planning service.Recently,a new company offering the same services as CAA has come on the market.Better World Travellers Club (BWTC)is competing against CAA by offering the same roadside assistance as CAA and at the same time pitching a go-green philosophy.The company is diligently courting the environmentally conscious traveller.BWTC has agreed to donate 1 percent of club revenues to environmental organizations that seek to reduce the use of fossil fuel and fight global warning.In addition,its members receive discounts on travel to remote wilderness retreats,world-class eco-resorts,and "green" hotels (ones that utilize energy efficient practices).
-Refer to Better World Travellers Club.BWTC's donation to organizations that seek to reduce the use of fossil fuel is a strategy for which of the following?
A) repositioning
B) multisegmentation
C) mass marketing
D) product Differentiation

Question

Quizplus · Accepted Answer

BWTC's donation to environmental organizations as part of their business model is a strategy for product differentiation. This approach sets them apart from competitors like CAA by appealing to environmentally conscious consumers.

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