Bentley Motors: Differentiation and Positioning in International Markets

Discussion Questions

1. Explain how segmentation and targeting are differentiated from each other.
Using the full spectrum of segmentation variables, describe how Bentley segments
and targets the international luxury car market.
a. Segmentation is dividing up markets into meaningful customer groups, and Targeting
is choosing which customer groups to serve. Bentley uses income and social
segmentation, and targets the highest income Group with relatively no so much
education.

2. What is the difference between differentiation and positioning? Has Bentley

Differentiated and positioned its brand effectively? Explain.
a. Differentiation is creating market offerings that best serve targeted customers, and
positioning is positioning the offerings in the minds of consumers. Yes, Bentley
differentiated from the other brands by being a luxury car brand, and everybody knows
Bentley is a luxury car.
b. Differentiation is more on a product and service level, and positioning happens Inside
of a mind.

3. beyond a machine that can bring you from A to B. What is Bentley really
selling? To its customers?
a. Bentley sells a lifestyle, it sells style, luxury, prestige, heritage, and Exclusivity.

4. The case mentions Bentley’s line of products (other than cars) under its brand
Name. In the market for luxury goods, what kind of strategic action would this?
Be? Explain why.
a. Brand extension, focus differentiating. Focus on the higher income groups,
Differentiate in the product line.

5. Comment on the consumer type buying behavior involved in the decision to buy
a Bentley. How is this decision process different from buying a drink at a bar or
Buying food at a restaurant?

If you buy food at a restaurant or drinks at a bar, you have a need: food/water. You
want this special drink or food, but this want comes from a need. Buying a Bentley is
different, if you buy it you want reputation, not just a car.
b. Complex buying behavior.

6. Like any other product, a buyer of any (Bentley) car will go through the buyer
Decision process. Comment on each stage of this process when you would buy a
Volkswagen Golf compared to say a Bentley Continental GT. How do you
Expectations differ?
a. There is first a need recognition: you need something to bring you from A to B Most
effectively, in this case a car. Then you will search for information: Which types of cars
are there, which is the cheapest one, which is the most? Expensive one, by which car
do you get more than just a car? Then you will evaluate the alternatives: in the case of
Bentley you want more than just a car, so you will choose between Porsche, Bentley
and a Ferrari. In the case of Volkswagen you will choose between Opel and
Volkswagen. Then you will make a purchase decision: you buy either a Bentley or
Volkswagen. Then there will be post purchase behavior. Did the Bentley indeed gave
you more than just a car? Did it indeed influence your lifestyle? Did the Volkswagen
Bring you from A to B the way you expected it to?

7. Given the current state of the economy. Analyze Bentley’s current market
Position and comment on the future growth opportunities of the company. (Hint:
Make use of the knowledge of week 1 and 2 in your answer).
a. Bentley has a strong market position, since it is different from every other car Brand.
It has captured a lot of customer value and customer satisfaction. Bentley is definitely
a cash cow. It was influenced badly by the economic Environment during the financial
crisis, but it is rising again. It is in focus Differentiation, and it uses customer intimacy.
Bentley should not grow too much, since it then loses its target market, since it is not
that exclusive anymore. It could make a cheaper alternative though, but With less
luxury.