PRODUCT DIFFERENTIATION
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By M Suyanto

One of the strategies to win the competition in business is a differentiation strategy, which emphasizes the stronger differences of certain brands compared with competitive brands. Product differentiation may derive from a variety of factors, namely product quality, product features, durability, reliability, exceptional product design, reliability, being easy to repair, and style. The quality of a product covers quality performance and conformance. Quality performance refers to the level in which product characteristics operate, that is to say, whether the product is produced from low-level, average, high, or super performance. IBM’s product differentiation strategy is based on the quality of performance. According to Fortune magazine, IBM was the world’s 19th ranked company based on revenue and was the world’s first ranking firm based on computer and office equipment industries. IBM is a company with the principles of respecting individuals, giving the best to customers, and carrying out all tasks with the idea that everything can be achieved by a superior. IBM is a technology company, which is not inexhaustible commitment to quality. IBM Thinkpad Transnote was an award-winning product for “For Technological Excellence” in the category of PCs from PC Magazine in 2001. Then, conformance quality is the level in which all produced units are identical and meet the target specifications as promised. Buyers typically expect the high level of fitness. BMW uses the product differentiation strategy based on the suitability of high quality. Product features are equipped with the characteristics of product functions. Most products are offered with their excellencies. Microsoft uses the product differentiation strategy based privileges. In 2002, Microsoft was the world’s number-three company of the most impressive ones according to Fortune magazine. In 2001, IBM released a new product, namely Windows XP, which used Windows 2000 kernel. Windows XP is the most stable operating systems of Microsoft. The excellence of Windows XP is that it is not only stable, uses a new wizard that allows you to configure settings for Internet and local networks but also has the additional feature of increasingly varied plug and play. In addition, Windows XP includes a software “firewall” for security. In 2001, Windows XP was the winner of the award “For Technical Excellence” in the category of desktop software from PC Magazine . Furthermore, Rolex uses product differentiation strategy based on product durability, which is a measure of the expected age of the product operating under normal conditions and / or weight. According to most users, durability is very important. Does your company want to do product differentiation or to die?

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