Sample Essay

Opportunities

Toys R Us has developed brand equity and it can use this brand equity to launch a new product line where it can cash its brand strength. For instance, it can focus on a mothers segment and launch a Mother’s R Us store or to test market the idea first introduce products to cater to the needs of a pregnant mother to be and market through its recently acquired e-pregnancy.com.

Threats

The threats branch out of the weaknesses in marketing strategy of Toys R Us. Since it has not been able to differentiate itself as a low cost provider or a value provider it has not been able to win over either of the two. Over the years, Toys R Us has given mixed communications with regards to its rationale of providing value in terms of cost and also in terms of creating a memorable experience. This leads to a customer dissonance, who might be motivated to buy a competitor’s product offering because it communicates a single value such as price or experience that the customer values most.

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