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Case Title:

"The Advent of the Internet and the Bargaining Power of the Customer"

Publication Month and Year :  July 2009

Authors: Roopa Sumit Kumar Chaudhuri

Industry: Information Technology

Region:Global

Case Code: MM0017

Teaching Note: Not Available

Structured Assignment: Available


OR





Abstract:
The adage ‘the customer is the king’ has always been true for marketers across different industries. However it is believed that the customer has realised his power of being a ‘king’ only with the advent of the Internet in the 1990s. The Internet has enabled customers to have access to more information and a wider choice of products and services, which in turn has led to more ‘customer power’. Cutting across industries, companies today face the challenge of price competition, reduced brand loyalty and the difficulty of connecting with the customer, which is compelling them to change their marketing strategies.

Pedagogical Objective:

  • To discuss the role of Internet in the increase in the bargaining power of customers
  • To discuss the changes in the marketing strategies that Internet brought about
  • To discuss the affect of customer empowerment on different business segments.

Keywords : Internet and customer power; Internet and Porter’s Five Forces Model; Internet marketing; e-Commerce; Consumer buying behavior process; Customer power in air travel industry; Technology Management Case Study ; Factors affecting customer power; Customer power in auto industry; Behavioral marketing; Bargaining power of customer; Brand building; Brand loyalty; Consumer behavior; buying process, Marketing Management; Marketing Mix; Market Segmentation; Product Life Cycle; New Product Development; Consumer Behavior; Marketing Case Studies; MBA; Marketing Course for MBA Marketing Course Case Map; Course Case Map; Case Map

Contents:

  • The Advent of the Internet and the Bargaining Power of the Customer
  • Challenges for the Corporate

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