Assignment for Research Methodology

Course. Research Methodology

Individual Assignment on Research Methodology

Assignment on “How market positioning can develop brand loyalty.”

Submitted by Nusrat Sharmin (MBA class, Semester two)

London School of Commerce, Dhaka.

Content

1. Introduction

1.1 background of research

1.2 Rationale of the research

1.3 Statement of the problem

1.4 Benefit from this research

1.5 Research question

1.6 Research objective

2. Literature Review

2.1 Definition

2.2 Concept

2.3 Tools

2.4 Theories\modules

2.5 Conceptual framework

3. Research Methodology

3.1 Research philosophy

3.2 Research type

3.3 Research Approach

3.4 Research strategy

3.5 Data collection method

4. Data analysis

5. Conclusion

5.1 Reliability and validity

5.2 Ethical consideration

5.3 Scope for further research

5.4 Limitation of this research

5.5 Timescale

Introduction

The introduction section of this research focus on background of the research, rationality of the research, the statement of the

problem, beneficiary of this research, research question and research objective.

1.1 Background of the Research

Every business strives to grab the market position, always strongly yearn to develop their product and market both. They dedicate their

best to promote their product. Regardless how competitors are offering the same product or service to consumer.

The term positioning defined by Trout and Rise (Industrial marketing, vol.54, no. 6, page.55-56 June 1969) as the product position

basically concerned with consumer perspective, consumers yearning for a particular brand. According to them, it is a technique to

address consumer community where consumers are flooded in a ocean of advertising messages.

The basic tool to win the market with consumer loyalty is market positioning. The word positioning originates from popular market

writers Jack Trout and Al Ries who wrote “Positioning is a term in common use within the marketing and advertising community at

time”.

Positioning widely adopted by marketing and advertising communities, positioning is component of marketing strategy to develop

business growth and success. Positioning is tool and technique to develop product popularity and recognition among consumers. If a

company offers what consumer exactly wants then there is no requirement of design market positioning. Positioning is highly

concerned with target market. For an example, a clothing store can position itself against all competitor brands with target particular

age of customer like teen age group. Brand can position themselves against all competitor brands of clothing line with unique design

and trend and quality. Positioning define who are the actual target of product market.

Since position and brand both provides essential function to develop business growth, therefore marketers focus in great extent

develop positioning strategy. Marketers spend strenuous effort to make it successful.

H&M is Sweden based fashion clothing store their main product ranges from men wear and women wear , kids wear, home decor,

footwear and accessories, is clothing, accessories, footwear and home product. H&M is successful leading global brand who has 3700

stores in more than 33 countries. In this research, we focus how market positioning develops brand loyalty and H&M will take as

example to scrutinize those substantial factors to determine.

1.2 Rationale of the Research.

Every big company strives to maximize profit, highly driven to make apple profit. The aggressive promotion, word of mouth, lucrative

campaign all is here to offer that their product is best. But what makes the customer for loyal to some particular brand where

numerous products are already there. For example, both Armani and Zara designed suit. Whereas Armani characterized with their

higher end customer, Zara also has loyal customer.

For women’s clothing H&M and Mango both offer fashionable trendy clothes with wide range collection and both have huge

popularity. The fact is both has offer same thing but how it become special, their approach. Their features.

The fact is how marketer communicate with audience, how consumers are perceiving the product.

1.3 Statement of the Problem

This Study will examine the basis of positioning through referencing several theories and concept. This study particularly focus on

how positioning technique strengthen the business infrastructure. If a company designed a product or service which exactly a customer

desire and feels the demand has fulfilled and it does not any more development, then there should be no competition or requirement of

positioning. But people are all different, characterized with different preference; different taste and consumers yearning for particular

product is also depends on country, geographical, cultural, ethnicity characteristics.

Market positioning primarily identify consumer necessity and tailor the offers which serves best as well as ensure best profitable

opportunities. Then marketer concentrate the surroundings like who are close competitors and take initiative to differentiate their

offers from competitors so consumer can evaluate their product with better choice and develop their inclination and favor towards

particular product.

1.4 Research Question

Since position deals with numerous option and scopes which exist for any given product, therefore this particular study closely

scrutinize what are beneficiary factor of market positioning.

What are factors marketer should consider during target marketing strategy?

How market position contribute to brand loyalty.

What are the basic principles of market positioning?

How market positioning creates infinite brand value and consumer loyalty.

How market positioning ensure sustainable growth of company.

1.5 Research Objective

The particular topic will explore the entire concept of market positioning, the credential of market positioning and then extract

practical business scenario of a successful company to exemplify how market position contributes in great extent to ensure significant

business growth.

The objective of this research is to finding the facts how market positing is essential for business growth. Through several concept and

theories, the study will try to identify the correlation between market position and brand loyalty. The study primarily focuses on

particular business strategy whether positioning concerned with sustainable business growth. Positioning results positive competitive

advantage and the objective of this research defines position as strong key factor to build brand loyalty. Market positioning can

contribute with enormous impact on business. Positioning creates a positive brand image which influence customer great extent.

The objective of this particular study is to evaluate the function of market positioning and how it can build a strong image of product.

2 .Literature Review.

2.1 Definition of Market Positioning

Market positioning based on customer demand, necessity, and market size and market segment. Whether positioning aligned with

market segment, choices and consumer preferences. Regardless of what product is offering, Consumer changes their purchase decision

if product does not map their positing strategy in the market. Consumer identify product with following factors,

whether offer is credible enough

whether the offering message is comprehensive enough

whether its unique

Market positioning is how marketer differentiates product or service from competitors and then determines which market niche to fill.

Positioning creates product identity to the customer. A company positioning strategy is influenced by number of factors which

prioritize consumer motivation and requirements as well as competitor’s product marketing strategy.

Positioning has consider few following factors,

What customer exactly buying and how what they are expecting from product and what not. How they want to see their

product.

How consumer differentiate particular product from competitors offer.

Market positioning strengthens the fact when customer buying particular product it is not only the price they are offering for

the product but they are expecting something more.

Positioning implies the fact that the particular product is unique.

Successful market positioning strategy creates a positioning statement for their company where they describe what distinguishes their

product from other.

Then marketer should communicate with audience, whether the product speaks directly of wants and needs. If message is clear, then

Marketer creates image marketing materials like logo, symbol or cartoon to symbolize the image.

Market position is a unique technique to hold customer with sustainable competitive advantage. It communicates with every

plausible impact with value, quality & for Occupy customer with commitment. An endeavor toentice consumerattentionfor brand or

product which differentiate from other products. The purpose is to possess a clear, unique, and advantageous position in the

consumer's mind.

Market positioning is how business makes continuous thrive to maximize sustainable growth of company. A product can do the

market positioning with quality, price, comfort and availability and durability.

The Market positioning closely studies consumer preference, their particular choice, how much they are ready to spend and what is

reason behind to make their repeated choice for the particular brand where numerous brands are existed with lucrative campaign and

offer. A product should decide what will be the core competent factor to position the market.

2.2 Concept of Market Positioning

Market positioning primarily deals with consumer perspective. Positioning is a concept to maximize business development. Through

positioning business teams creates imagery for the product which has particular category of consumer. Positioning can be ground on

promotion, price, place and product.A wise positioning strategy alleviates the business effort and creates large pool of loyal consumer

through continuous delivery of better product and service.

Market positioning highly depends on few factors,

Analyze target market, who are the consumer of the product/service, what’s their expectation, what they want to see in the product,

what makes them confident they have the right choice to purchase, what’s is the driving factor to yearn for that product, what’s the

level of their affordability.

Promotion and advertisement are key factors to create market for the product. That’s why successful business company spends

millions to set brand strategy and hire celebrity as ambassador to promote their product. For position any product in market,

marketing personnel has to thoroughly gain the Knowledge of a product to set the target market. They have to closely scrutinize

consumer habit, choice, preference, affordability. Business team cleverly penetrates the market condition and designs the frame work

which enables them to grab the credentials of customer.

Placement is another key features of positioning, does not matter how good is your product or how craft your promotional strategy if

product does not get perfect placement. Chose outlet location where consumer can easily locate.

Positioning with reasonable price is another factor which determines consumer will strong yearn for the product. If it has the right

price in spite of the fact competitor offer same product with lower price, only the quality can ensure consumer can recognize its worth

to spend.

For market positioning also business team needs to identify whether the product met both functional and emotional needs of

consumer. Some product are basic necessity which serves as functional needs like clothing and emotional need concerned with

whether consumers is happy to choose the product since it is fashionable and trendy enough.

Product positioning is a process to determine what is the best communication method to reach to the user with productattributes based

on customer needs, competitive pressure, proper distribution channel and complete crafted message for the consumer. Effective

market positioning ensures that product message properly resonate with target user and compel them to take action.

So market positioning overall deals with four factors,

Customer Needs

Proper product positioning requires clear understanding from consumer needs so that marketer can develop proper communication and

smooth distributing channel so it can be available for customers. Consumer needs may concern with geographical or psychographic

characteristics like lifestyle, habitual preference. Positioning has the assess that needs and address with proper offerings so consumer

may resonate with the offer with right perception.

customer needs

communication channels

message for consumers

competitive pressure

Competitive pressure

Successful positioning strategy well crafted the product considering competitive since. Markets have plenty of products offering, so

consumer choice motivated not only by the necessity also the offerings made through advertisement. Among numerous clothing

stores, consumer decided to loyal for particular because of unique features. Marketers must select the right strategy that distinguishes

them for their competitive product.

Communication channel

Regardless how rich product is, if marketer fails to communicate with target consumer group then the whole endeavor can be vain.

Regular survey, interact with consumer to get constant feedback is sustainable positioning strategy. To strengthen their presence,

marketer organizes several social events and sponsor several activities and product campaign to exhibit their very much presence in

the market.

Comprehensive Message for consumer

Marketer can assess the consumer necessity, so they can identify what consumer want to listen through the offering when a marketer

promote product that’s why rich attribute does not ensure the consumer confidence, positioning knocks right chord when it perfectly

what benefit lies in the product. When clothing manufacturer promises they offer best clothe with best fashion trend it does not grab

the consumer attention only also it benchmark the existence f the product. Market positioning is the foundation of effective marketing

strategy which results consumer ultimate purchase decision.

While developing market position strategy business team has to decide the most accomplished persuasive, unique point of features

which enables to compete with large number of potential customers. Marketer has to consider how competitor design their position

themselves.

Marketer has to over and above ensure that the benefit they are offering is superior then their competitive products. Pricing should be

designed which justifies benefit and services, promotional message must clearly communicate with consumer. Like H&M campaign

best product comes with best prices. The idea is to increase sales by lucrative promises and commitment.

Positioning is significant since it provides identity to product. The customer should grasp what the brand, product or business is

offering. A good statement distinguishes the product from other products that might appeal to the same type of consumer or need.

Market positioning strengthen the fact that customer will not accept the product if they are not sure about productBenefits. Positioning

states why it has value, what feature they offer and how consumer will get benefit out of it.

Positioning must focus who are real customers, for example if a company decide to promote exclusive design wear and designer

collection they only set their location and store on elite area for higher end income customer and select the advertising medium

properly.so customer prefer grandeur more than durability since its stamped with luxury clothing line. Here customer does not

consider price at all since concern is exclusive and unique attributes.

Positioning is the technique to create product image and places it in the consumer mind. Positioning determines how marketer want

designate the product whether it will be characterized with luxury features or budget friendly product with essential offering.

Edmund Jerome Mccarthy on 1960, introduces the theory of marketing mix the and indicates four factor to determine strong

market positioning,. Placemat, price, product and people are that four variables.

Placement concerned with availability of the product. Perfect placement of product ensures product is available and consumer may

avail it whenever they want. Product placement determines how customer wants to perceive the product quality. Surrounding with

similar product, it can recognized as essential and most useful for its attributes.

Product

Product can be tangible good or intangible services but the function depends on what benefit it offers. Product concerned with demand

and necessity, so product features design business life line. Marketer has to ensure the product they offer has distinctive feature which

can appeals the customer to differentiate between competitors offer.

Price

Price is a factor which ultimately drives the consumer to make the decision to have it or not. It’s a price which shapes consumer

decision. Customer always consider the price they pays whether its reasonable enough to avail the product. For example, even luxury

items has particular group of customer who prioritize lavish feature of the product then the necessity.Customer expects that price

should match with the utility which product offers.

Place

Placement is another integral part of positioning tool. If consumer cannot avail product from convenient source then business can lose

its market position, regardless how strong feature product has offer and designed with reasonable pricing if it does circulate through

proper channel of distribution then its vain effort to promote product.

Promotion

Promotion concerned with how marketer will communicate with consumer for product. If promotional feature evokes meaningful

message to consumer then it can influence in great extent to motivate customer to purchase it. Positive promotional strategy shapes

positive positioning. Positioning can do in broader market. For example, market has already no. of clothing store but new company

can promote with unique campaign they use organic cotton for their clothes. Pricing is a significant factor to influence positioning.

Both Mango and H&M offers clothes with different range for women and both are equally popular for their design, price and

availability and both sustain the market with their unique distinction.

Positioning can be based on usage segment as well like sportswear cannot offer to all ages but has huge demand in European market.

Positioning consider geographic segment. Big Brands will never promote winter wear with unique campaign in tropical countries like

India. Definitely the business size will be not huge as Europe since India is country with scorching summer. Positioning can explore

with psychographic segment option as an example promote sports car which only characterized for luxury features.

Position highly prioritizes channel of distribution. Its only wide strong distribution network channel which enables the business to

reach in significant growth. Correct positioning is basic strength and fundamental for its success whereas inefficient positioning can

ruin business or underperform.

How Market positioning Develops Brand Loyalty

A brand is symbol, words, clip cartoon and text and pictures that immediately give glimpse of an image or enables the consumer to

recall the previous experience of a service or product which encourage choosing that product again. This brand recall in not confined

within product or service it adds distinction image to company.

Many entrepreneurs think branding highlights key features of product, it effectively create positive brand image leading steady sales

turnover. Branding is beneficial for business because consumer has favorable notion and they are ready for the price to pay to get that

particular service or product. So Brand facilitates extra benefit for the business since consumers are inclined to do repeated purchase

overtime. Brand Loyalty highly influenced by consumer preference. Customer will be consistent to their favor for preferred brands

irrespective of price. Companies use several marketing strategies to cultivate loyal consumer, it can be through loyalty program.

Company hire celebrity as brand ambassador to strengthen brand image, which becomes very fruitful when consumer discover their

favorite celebrity communicate with them speaking in favor of the particular product. This promotional strategy becomes very

effective technique to popularize the brand.

Brand Loyalty occurs when consumer prefers to do repeated purchase a product produced by the same company instead of

switching to substitute offered by competitors. For example, some customer will always purchase H&M product while other

will go for Zara.

Brand loyalty results from sense of satisfaction. User feels the product they are having is superior then others. Brand loyalty is

significant for several reasons. Primarily, it reduces the production cost because sales volume is higher. Since the product has already

particular group, community of loyal customer therefore marketer has to focus on developing feature or add values to the product to

strengthen their market position.

Companies with loyal consumer enable to invest more for business growth.

Companies may use premium pricing that heighten profit margin.

Brand loyalty reflects through the consumer’s positive willingness to have product repeatedly.

Brand strengthen positive image which advocates for specific reason and benefit.

Brand projected with consumer emotional, feeling and craving

Brand Functioning

Brand deals with company’s goodwill, it enables the company to build a distinctive image which perpetuates through

consumer mind. It facilitates sustainable competitive advantage. But all the features depend on certain valuables. There several

aspects and variables, marketer has to consider determining brand function.

For effective brand functioning, Marketer has to closely penetrate the habits, choices, preference, tradition, religious belief, and

standard of living, social custom of country, community, and ethnicity. If a community is conservative, then marketer cannot

promote western clothing brand or liquor in extensive manner for several cultural barriers. Similarly, in least developing

country, no body think of operate luxury outlet of home furnishing or fashionable accessories.

Brand identity, brand image all has to highly consider those variables and then business team can decide what brand will

symbolize or what media or platform they should capitalize to connect with audience so customer can comprehend the

intended message and develops strong yearning for that product.

The Impact of Brand loyalty on Consumer Behavior

Brand loyalty shapes consumer behavior, Brand communicates with consumer through promotion, advertisement, social media

and consumer develops strong feeling for that. For example, many consumers feel buying NIKE sportswear, having Gucci bag

and accessories is sign of individual distinction. Brand appeals become more enticing when brand collaborates with celebrity

to promote their product. Luxury brand watches like OMEGA, TAG HEUER, LONGINES is categorically designed for

higher end customer who feels using this brand is sign of uniqueness.

Popular clothing brand like Mango, Zara H&M highly concentrates on women consumers’ choice of fashion and they develop

the style trend with such attributes so young females feel strongly motivate to purchase their product.

Brand has just provided a distinctive identity to product, that's why people buy IKEA product even though market has several

furniture outlets. Brand continuously explores with age, choices, customer habit so they address differentiate approach which

has strong appeal and impact , that's why brand differentiate product by focusing on special age group like teen people and

offers innovative design of shoes and accessories.

Trout and Ries Recommend a Structure of Positioning Map,

In which direction products want to focus their position?

What will be position strategy to reach that position?

What are the defending strategies to own the position?

Does the firm have adequate resource to map the positioning?

Whether their strategy persistent and sustainable enough?

Whether positioning objective is feasible enough?

Jack and Trout and Alries ( 1969) Positioning concerned with consumer perception. Since consumer choices, inclination varies from

person to person, so marketer has to decide whether positioning map will be basis of quality, price, service and value for money.

A Positioning Map,

The marketer would decide what will their variables to attract customer, they can decide variable as price to segmenting higher or

lower end customers or quality with variables of comfort and luxury.

High Low

High

Low

Positioning map is an effective tool to focus what will be competent factors for positioning. In below map, we can see how brands are

positioning their market through competitive price where global brands Zara, Mango, H&M target their market segment through

maintaining high quality with reasonable price there also extremely cheap brands with low quality.

For example,

Porter Generic strategies

In 1980, Michael Porter in his “competitive strategy” suggests three Generic strategies where business firms can utilize these concepts

to construct strong position in the market. Any business industry can adopt basis approaches of three fundamental marketing strategies

to develop their competitive advantages through, differentiation strategy, focus strategy and low cost strategy.

  

Business firm can pursue competitive advantage by standard pricing which ensure higher profitability.

Cost leadership can achieve through efficient production planning, eliminating unnecessary costs, reduce production cost from

marketing, packaging, wastages, labor cost. Through low production business can achieve significant growth and expand

investment for further development.

Differentiation creates consumer loyalty. Customer does not bother with price offering moreover the services or value they

want to have repeatedly .For example, toiletries can diffentiate their product through different segment addressing age,

complexion.

Focus concentrates on defined market segment which also can be defined niche market. When business team decides to

position their product, they strategically consider what will be the prime focus on market positioning. It can be geographical,

cultural. For example outlet of Celebrity designer collection can address their potential business hub as rich western market or

in some extent far east countries for higher end income people who really can afford it.

Bowman’s Strategy Clock

Cliff Bowman ( 1996) developed strategy clock concept to penetrate the competitive position of a product or company in

comparison to competitor offerings. Bowman thinks competitive advantage interrelated with cost or differentiation advantage.

Positions on the clock reveal different positions in the market where customer have different requirement in terms of value and cost

consideration. It also indicates generic strategies for acquiring competitive advantage,

1. low price, low added value

Low value /standard price

7. Increase price/low values

6. Increased price/standard product

5. focused differentiation

4. Differentiation

3. Hybrid

2. Low price

Position 1. Low price with low value

These positioning concentrates on price sensitive market. Normally companies avoid this criteria, since it only focus on sales quantity

not quality. Only pricing is the factor to draw customer attention. Low/cheap prices, low services is centralized on a price-sensitive

market segment. Most of those products are grocery or serve basic necessity where does not consider the different offer from different

supplier. Price is key factor, here consumer will switch to low cost product this segment is for those consumer who cannot afford

much. This strategy is very effectual for small companies.

Position 2. Low price

In this section, here minimum pricing designed to cater particular segment. Companies strive to set minimum price scale to win

market position. Business team here focus with low pricing strategy a to attract customers to outrun competitors. Through price,

companies can lead the market, the difficulty marketer has to face is controlling cost of production. It can results sustainable

advantage.

Position 3. Hybrid

Hybrid stands for low cost product but with standard value which is superior then competitive offering. Companies can achieve

reputation for serving low priced with reasonable services. This technique can adopt differentiation technique and offer the price

comparatively lower than competitors. The success of this strategy highly depends on how marketer maintain the standard and offer

reasonable price so consumer feel reasonable to pay for it. This strategy is beneficial for new entrants to the competitive market.

Position 4. Differentiate.

Differentiate strategy approaches their customer with high perceived value. Branding is essential to differentiate. It enables the

company to sustain with quality and reasonable price. Through this strategy of slightly designing higher prices , marketer can enjoy

marginal benefits.

Position 5. Focused Differentiation

These positioning stands for exclusive products with unique features, characterized with luxury trends. High value blended with high

price. Consumer prefers to purchase this kind of product for comfort and luxury, this strategy applicable for niche market segment

where brand loyal consumers are habituate with this offers and don't bother to pay extra.

Position 6. Increased Price/Standard value

These positioning suggests Product indicates sometimes company increase their price without any reason, if consumer accept price

offer then company can enjoy higher profit margin but its more practical strategy for monopoly market where substitute or

competitors does not exist.it has high risk of losing market with entry of competitors.

Position 7. High Price/Low Value

High price with low value recommends the goods with high price scale incidentally it does not last long. Marketer charge overprices

to assess the consumer preference. This strategy can term as failure strategy-a only beneficial in a monopoly situation.

Position 8. Low Value /standard price

Here marketer offers product with low value but pricing is higher compare to service benefit. If company owns a product with low

value then reasonable pricing will be the basic tool to grab market position, here standard cost is competitive factor to address

consumer inclination. Another fail strategy since market can lose its position.

Brand Positioning

Brand offers distinct appeal to consumer. Brand idealizes consumer loyalty. Branding is a technique of positioning.

Brand strengthens business ground.

Identify the core values of the brand

Identify the competitors of the product

Create differentiate strategy

Build strong communication network with consumers

Brand facilitates sort of affinity and special bond with consumer

Brand positioning has the assess the following factor,

Whether product offering is superior then competitor.

Whether product is catering to specific needs of group, communities.

Whether brand value has sustainable advantage which appeals over the decade.

Whether brand can boost the financial objective of company 

Brand can strengthen business growth of the company

Consumer Behavior

Brand and market position both highly associates with consumer behavior. Consumer behavior defines what will be the strategies of

positioning. Business strategies has to highly depends on that variables since product has to identify what are the features or attributes,

product developer should employ so consumer feels that particular product is essential for them. What is driving factor behind

consumer motivation, their income or their emotional necessity or additional requirement? Whether consumer evaluates product

through prices or quality or service benefit.

Consumer behavior concentrates on,

How consumer think, treat, justify and decide between brand, product.

How consumer influenced by surrounding environment

How consumer behave while shop and decide purchase decision

What influence and motivate the customer to grow desire for the brand and product.

Consumer   Behavior Influenced and motivated by various drives:  

❖ Consumer behavior undergoes a constant change

❖ Consumer behavior Varies from consumer to consumer

❖ Consumer behavior differs from country to country from region to region

❖ Information on consumer behavior is important to the marketer

❖ Consumer behavior leads to purchase decision, shapes buying habit

❖ Consumer behavior changes when standard of living: upgrades 

❖ Consumer behavior differs from product to product

 Customer Loyalty

Loyalty is a state of mind; customer loyalty can be defined positive preferential attitude towards particular brand. More specifically

customer loyalty is willingness to repeat purchase of particular brand. It concerned with customer satisfaction. Loyalty is concerned

with re purchase activity. Customer loyalty is positive attitude of customer towards particular brand.

Customer loyalty concerned with consumer willingness, consideration and trust. Customer loyalty is positive feeling concerned with

strong emotion and affinity.

 Consumer loyalty motivated by four factors,

Psychological

Customer may develop sense of loyalty because strong relation they share like banking where consumer feels they are having

transaction for such long time which develops strong sense of lenience towards that bank.

Economical

If consumer feels it has financial advantage then they develop positive attitude towards that product

Technical/Functional

If product technical function evokes sense of convenience that cause consumer loyalty such as mobile brand, personal

computer.

Contractual

Where product offer certain benefit for particular time period then customer are bound to loyal for that particular product. Like

mobile phone offers free talk time bonus.

Fishbien   Model on Consumer Behavior.

Martin fishbein was psychologist and sociologist reveals in his study (1975, 1980) people make choices as a means by which marketer

might predict choices. He focus on attitude towards purchase, attitude toward behavior model may predict what consumer will actually

buy. In order to get better correlation between attitude and behavior the consideration reflects on specific action, a particular time

period. (for example attitude towards a BMW or attitude to own BMW is different. This is term as measurement correspondence.

Fishbein suggests Attitude comes from conditioning, our learning, knowledge, experience; traditional value shapes our attitude and

constructs behavior.

He indicates components of attitude are

cognitive concept deals with knowledge and belief

affectation attitude deals with emotion and feeling

conative attitude is positive action, intention to buy

Fishbein theory of reasoned action says behavior changes attitude. Consumer’s motivation driven by ego defense, desire of

improvement, value expressive- attitude, knowledge function, social adjustment.

Theory of reasoned action developed by Ajzen and Fishbein, TRA is behavioral intention, attitude and subjective norm (BI =A+SN)

TRA recommends that a person’s behavioral intention depends on person’s attitude about the behavior and subjective norms. If person

likes to commit an action then he will do it. A person’s attitude forms his behavioral intention.

3   Research   Methodologies

The research methodology states its role and purpose, method actually builds the framework how researcher will address the problem

and answering questions. It integrates all the components of research, type, philosophical assumptions and approach of qualitative and

quantitative technique.

 This particular study is mixed approaches of induction and deductive since it focuses on theories, concept, and definition to determine

how marketing positioning builds brand loyalty. Positioning does not confine within business development strategy or statistics it

penetrates how positioning has to consider consumer behavior, attitude. Deductive measure shapes the research an insightful look.

3.1 Research Philosophy

Research philosophy concerned with essential assumption about the way to perceive the topic. It concerned with nature of reality. The

questions, assumptions extract from real scenario. More precisely, the ideas we explore in this research whether it positive in nature,

whether it’s credible enough to judge with certain measures.

The approach here is interpretive, since the concept or ideas explored is illustrated with interpretation. The perception and

understanding elaborates the perception.

3.2   Research Types

 Research types can be Exploratory, descriptive or explanative. The following study explores the existing theory and reasoning the

reliability of the concepts and definition to justify the data’s are relevant enough. Overall it describes how positioning functions to

build brand loyalty where brand loyalty is positive preferential attitude of consumer which totally motivates by persons knowledge,

belief, value and judgment.

It’s explanatory enough to simplify theoretical framework. It clarifies the advantages of loyalty and how positioning draws benefit

over it. It explores consumer behavior and brand positioning.

3.3   Research Approach

Research approach has two measures, qualitative and quantitative. Where quantitative research consists of numerical figures, numbers

and variables with substantial evidence, qualitative research method is more preferable since it gathers information from practical case

studies and interviews.

For particular study, mixed approach has adopted. Qualitative research approach has widely used to explore this topic since aim of

this research was to understand and analyze how positioning creates brand loyalty and what factors are working behind this. How

successful marketer using position strategy to develop brand loyalty. 

 Qualitative method becomes more relevant and suitable for this topic. The data’s used in this studies is not significant variable but

this qualitative approach enables to shape better understanding. A qualitative research method provides specific insight to position

strategies and better understanding to explore H&M branding strategies.

3.4   Research   Strategy

According to Howard and Sharp, Research strategy can be characterized as determining scope of study, decide research topic and

approach, gather the evidence and findings.

I have decided to focus on H&M as research topic since my work station is H&M Bangladesh production office. H&M has

worldwide stores and it's a brand which is hugely popular for several years. 

To make the research realistic, Literature study ( books, articles, journals )news reports of  H&M , homepage, annual report on H&M

used as source of research. Case study and surveys used for following research strategy.

H&M is Sweden based one of the largest fashionable clothing store operates in Europe, tremendously popular in both western and

Asian markets because of their fashion, quality and price. H&M efficiently operates their production and strongly develop a large

network of distribution channel their store and online collection is always enriched with varied choices and reasonable prices. H&M is

a brand which sustains over decade and decade and nurtures enormous brand loyalty through consumers because of their efficient

market positioning strategy. H&M operates over 3700 stores especially in Europe and Far East countries and plans to open another

375 stores which shows H&M develops their market arena through deliberate study of consumer view belief, choices and habitual

preferences. Production on low income countries, reasonable pricing, highly innovative clothing design and regular collaboration with

celebrity designer, hire top ranked celebrity as brand ambassador to promote the product becomes an successful business strategy of

H&M. H&M mission is to provide fashionable clothes with affordable prices.

Their positioning does not basis of only offering fashionable trendy clothes, but strongly communicates with customer and choose the

best store location in every commercial busy hub of European countries and aggressive promotion and campaign to draw huge

publicity. The online Survey says H&M is hugely popular for its reasonable price and iconic trendy outfits and designer collection

strengthen the brand popularity in transcendental level. Regular sales, discount, extensive promotion and brand slogan on sustainable

clothing heighten H&M brand image gloriously.

3.5 Data   Collection   Method

For research, there are two measures of collecting data, primary and secondary data. 

To sought, fundamental knowledge about particular secondary data has used in large extent. Data has been largely collected through

online articles .it uses qualitative method to explain the problems. This technique is more useful to penetrate since the following is

largely concerned with real scenario.

For every research to make it more credible uses primary and secondary data. Here as secondary data source to analyze the positioning

and its contribution.

4. Data Analysis

Desire for fashionable trendy clothing is no more concerned with functional needs, now it becomes over and above emotional

needs .Brands appeals numerous benefits and promises to consumers. Brand helps user to differentiate between different brands and

products. Every business operating to maximize their profit but branding such a distinctive   feature which originates a distinct identity

to the product. Most of the companies put numerous efforts to develop the brand so product can sustain with competitive advantage.

Successful renowned brand is outcome of an enormous endeavor which distinguished the product with salient unique selling

proposition. The data extract through several sources tries to imply,

How market positioning evaluates consumer behavior.

For positioning, what should be priority factor.

Whether positioning map is essential to market positioning.

Are brand choices heavily influenced by consumer behavior it’s just a trend.

5. Conclusion

 The above study explores all the relevant theories of market positioning, their component, positioning map, generic strategy, theory of

reasoned action to highlight how it concerned with brand development, consumer behavior. To make this study with more credible

approach, we extract case of H&M Brand. In the process of developing the brand, H&M builds their market positioning with

developing strong network of distribution, constant research and development of fashion and innovative ideas and affordable price

strategy, unique promotion and collaboration with celebrity designer. 

  5 .1 Reliability and Validity

The particular study only concentrates on the basic concept, definitions, ideas, factor and technique and practical illustration of H&M

brand to highlight the significance of positioning strategy. The theories and concept here excerpted is still consider as significant

features develop marketing strategy. Consumer preferential attitude, positive feeling still provides the marketer to innovate product

with strong brand image where numerous substitutes are available. To accomplish this report, study has used bowman strategy clock

to illustrate price, quality, standard matters a lot to develop market segmentation.

The theoretical framework has drawn from various concepts of consumer behavior, Fishbein model, theory of reasoned action, and

consumer behavioral actions which are very much practical and till today business and marketing strategies has to rely on those highly

plausible concept which determines the structure of market positioning.

5.2 Ethical Consideration

H&M was taken as particular example to do this study and it only identify the factors of positioning  how H&M has materialized

which does not concerned with company’s confidential information or did not distort any fact. Expand a bit

 In this study, we found that there is still a lot of scope to identify what the factors and features are of and how brand loyalty is

idealized and idolized by both company and customers. What is the competitive advantage of brand and what are the other aspects,

how it influence purchase decision and how it ensure the success of the company. To conduct this study, information largely collects

data through online article and material and existing surveys, theories. This study did not seek any means of unethical practices and

did not distort the existing theories which still justified here.

5.3   Limitation   of this Research

 To work out this research, the limitations in this study were focusing on a specific company which also means that it does not look on

the whole industry or how other companies develop their positioning and develop brand loyalty. Furthermore, we have a limited

time frame for this research; therefore we could not include all the factors.

5.4 Scope of Further Research

This particular research use several theories and concept to highlight the justification and relevance of market positioning develops

brand loyalty and extract practical illustration through H&M to determine positioning shapes brand identity and loyalty since it

concerned with consumer and their behavior.

Strategies, position map, consumer preference, consumer behavior, brand loyalty are the aspects hugely elaborated in this study.

Several interpretation and clarification has done to make this study an insightful look. This scope has numerous options to do further

research since practical example and theories are abundant, so researcher can manipulate that scope.

5.5 Time scale

This research takes 3 weeks. The basis of source of studies is online article, features.

Gantt chart

19/06/1525/06/15

2/7/2015

9/7/2015

16/07/15

23/07/15

30/07/15

1/8/2015

7/8/2015

14/08/15

Research study week 1

Theoretical frame work week 2study on theories and concept week 3

Data collection week 4

Structure Building week 5

final report preparation week 6

Drafting the report week 7

Report overview week 8

Final report completion week 9

StartProgress Complete

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