1. Competing for Market Segments Copyright © Texas Education Agency, 2011. All rights reserved.

2. Copyright and Terms of Service Copyright © Texas Education Agency. The materials found on this website are copyrighted © and trademarked ™ as the property of the Texas Education Agency and may not be reproduced without the express written permission of the Texas Education Agency, except under the following conditions: 1)Texas public school districts, charter schools, and Education Service Centers may reproduce and use copies of the Materials and Related Materials for the districts’ and schools’ educational use without obtaining permission from the Texas Education Agency; 2) Residents of the state of Texas may reproduce and use copies of the Materials and Related Materials for individual personal use only without obtaining written permission of the Texas Education Agency; 3) Any portion reproduced must be reproduced in its entirety and remain unedited, unaltered and unchanged in any way; 4) No monetary charge can be made for the reproduced materials or any document containing them; however, a reasonable charge to cover only the cost of reproduction and distribution may be charged. Private entities or persons located in Texas that are not Texas public school districts or Texas charter schools or any entity, whether public or private, educational or non-educational, located outside the state of Texas MUST obtain written approval from the Texas Education Agency and will be required to enter into a license agreement that may involve the payment of a licensing fee or a royalty fee. Copyright © Texas Education Agency, 2011. All rights reserved.

3. Goals for this Lesson Explain direct vs. indirect competition Explain price vs. non-price competition Describe the benefits of competition to consumers Copyright © Texas Education Agency, 2011. All rights reserved.

4. Types of Competition for Positioning Direct competition Indirect competition Price competition Non-price competition Copyright © Texas Education Agency, 2011. All rights reserved.

5. Examples of Competition for Positioning Direct Competition: HEB, Kroger, Safeway Indirect Competition: Convenience Store at Gas Station, Supermarket Price Competition: Target, Walmart, K-Mart Non-price Competition: Mercedes, BMW, Jaguar Copyright © Texas Education Agency, 2011. All rights reserved.

6. Benefits of Competition Consumer receives the best price for products available. Competition encourages improvements in products with the addition of unique features and benefits. Businesses are always looking for new and improved products to put into the marketplace to compete with their competitors. Competition offers consumers the benefit of a wide variety of products from which to choose. Copyright © Texas Education Agency, 2011. All rights reserved.

7. Assignments Students will complete Part Three of the “Marketing to Generations” project. Students will write a paragraph to explain why State Fairs and Amusement Parks such as Six Flags are struggling for business. Copyright © Texas Education Agency, 2011. All rights reserved.