The organization identifies the features most important to its customers and then attempts to add value by improving upon or augmenting those facets. The differentiation strategy can only effective when the price charged to customers is judged to be fair when compared to prices across the remainder of the market...
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The differentiation strategy can only effective when the price charged to customers is judged to be fair when compared to prices across the remainder of the market. In service industries, proper use of information technology can be the facet that differentiates the service. Examples of IT being used to differentiate services include United Parcel Services mobile data stations that track and store information to predict shipment dates and minimize claims, and insurance adjusters using laptops to process claims from a customers home...