Journal of Marketing · 1985 · 80 citations · 0 references
BusinessMarketingMarketing ManagementDiversification StrategyMarket SegmentationStrategic MarketingCorporate DiversificationMarket EntryPrice SegmentationSegment EvaluationSegmentation StrategyIndustrial Market SegmentationIndustry DiversificationIndustry SegmentationProduct-specific SegmentationSegmented Market StrategyVertical Market Segmentation
Basic‑industry firms are shifting toward specialty products to boost growth and profits, yet this transition requires unfamiliar marketing skills—especially in segmentation and positioning—and the literature offers few practical industrial‑market examples. The article introduces a segmentation and positioning model and demonstrates its application to a firm diversifying into specialty chemicals. The model integrates market‑segmentation criteria with positioning strategies, and the authors detail its use through a case study of a specialty‑chemicals diversification. The study outlines implications that can guide other industrial firms in adopting similar segmentation and positioning approaches.
Many companies in basic industries are shifting to speciality products in an effort to boost growth and profits. But such moves require often unfamiliar marketing skills, especially in segmentation and positioning. The market literature is surprisingly devoid of practical examples of segmentation and positioning techniques applied to industrial markets. This article presents such a model and illustrates it in detail for a company diversifying into speciality chemicals. Implications for other industrial companies are discussed.