Oligopoly
Each one of you is a CEO of an athletic shoe firm in an oligopolistic market. Your job is to maximize the profits of your firm. To this end you have to simultaneously expand and protect your market share. This assignment will focus on market share protection. Given what you know about ologopoliostic behavior, look over the new strategy of a rival firm. I want you to describe how you would counter your rival's strategy.
You are to carefully read all of the posts to this discussion thread. Then, after reviewing your classmates' strategies, I want you to select the best one as your backup plan. Once you have chosen your backup, post to the discussion thread the author's name and strategy.
Example:
New Strategy (posted by instructor): Yahoo News has discovered that Quasar Athletic Shoe Company has signed international soccer star, David Beckham, to a 1-year, $20 million mega endorsement contract. The first television and print ads featuring Mr. Beckham will hit the market in 9-12 months.
Post #1 (posted by student): Counter Strategy: I would counter my rival's new, celebrity endorsed, advertising with ads of my own that show a "before and after" phenomenon. The "before" part of the ad would show ordinary people playing soccer badly. Then, the commercial would cut to a scene where the ordinary players are putting on my company's shoes. Then the "after" shot would be of professionals, who's heads have been digitally replaced with the heads of the ordinary players, making spectacular plays.