ABSTRACT

This chapter provides some depth of export price competition, for two reasons: first, because products rarely sell on one factor alone; and second, because recently many authorities have argued that non-price competitiveness is the most potent export competitive strategy. It looks first at non-price strength generated by the product itself, particularly in terms of product quality as a marketing variable. Second, some commentary was delivered on the role of service competition - including commercial, financial and product support services - in achieving marketing strength and differentiation. Third, some general points were made about the marketing intangibles - such as image, reputation, trust and credibility - and their power in determining buyer responses to products and their promotion. The chapter closes with a brief resume of the power of non-price competitiveness, and the reasons why it is offered by many as the superior competitive base for exporting.