Branding Information |
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Franchising is Virtually Fraud Free
The number of complaints to the Federal Trade Commission on Franchising do not indicate ramped fraud in the franchising sector. The FTC before Congress gave a report showing that the number of complaints was fewer than one tenth of one percent, lower than any other industry. Nearly all the franchising cases the Federal Trade Commission filed, were gray, crying wolf area of law and most settled as soon as possible; considering the slow nature of our courts in America. Some of the cases the Federal Trade Commission had brought since 1970, which fell within their franchising rule jurisdiction were doctored up claims against smaller franchising companies, involving false declarations, secret Federal Trade Commission court filings and Federal Trade Commission runaway case worker investigations to prove themselves right once the target was sighted. I know this because our company was filed against in such a way. These tactics and thought process of course is part of the flawed human behavior to prove ones self right. The FTC's behavior in case filings is not too different from a student Thesis at University Level, Politicians justifying actions, policemen lying in paperwork and religious cults. We will not comment on the serious nature of the Federal Trade Commission, starting a case and working hard to prove guilt of the target to justify their existence or next years budget. It is safe to say however that in franchising, significant checks and balances already exist along with the rights of private action which abound with the sharks of the legal system looking at small fortunes and pots of gold created by franchisors in the market place. The ambulance chasers are in fact ready to pounce on any possible violation or perceived violation in the franchise rule. If not these fake EMTs will attempt to create a gray area to slither thru an open window, cracked screen or drive the ambulance right through the front door like a crazed Islamic radical suicide bomber coming from a Cleric's meeting to snatch the cash, take the safe or just to collect the 72 Virgin C-notes in fees for filing the suit. The Federal Trade Commission also often abuses their power with regards to the franchise rule as they need to bring so many cases every so many years to prove they are doing something. Think about it; should we really worry about International Terrorists or should we concentrate on the cancer within and the bureaucracy which threatens to destroy all we are and all we have built? "Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/wttbbs
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Putting You and Your Company in Position to Own Your Market Americans have always liked their coffee hot. But then Starbucks made hot coffee desirable, in demand, and extraordinarily profitable. And then Starbucks made coffee "cool" with its super-popular iced Frappucino drink -- just as trendy, fashionable, and universally appealing. Starbucks is no doubt one of the greatest marketing stories of recent history. How this company turned an unassuming beverage into an icon of sophistication and taste is no mystery, however. It's all about a marketing tenet called positioning. The coffee company started out in Seattle's Pike Place market in 1971 as a single gourmet coffee shop, and by 1995, the chain's earnings were $26.1 million. Marketing experts agree that Starbucks' skyrocket to fortune centers on its aesthetic sense. In other words, the public's perception of Starbucks has to do with how it appreciates this company's style. Sure, Starbucks filled a need and created unique product brands, but what attracts coffee drinkers again and again is the experience of the Starbucks environment and its products. Smooth, sophisticated, artistic: These are seductive qualities even for a business based on a little brown bean. The Starbucks story illustrates at least two powerful marketing principles. Both help us to better understand effective positioning, or the process of finding a "place" for ourselves in people's minds: People buy for their own reasons, not anyone else's. The stronger position is found in the experience, outcome, or benefit you provide as opposed to the methods you use for producing those outcomes. Starbucks shows us that it's not about packaging -- it's about positioning. The environment of Starbucks creates an experience that invites us to come study for exams, hang out and philosophize with friends, or get the day started with a warm cup of java and the morning news. Starbucks is an invitation to linger, not just get your coffee and go. When you are assessing your own position and considering how you might improve your image and thus your market share, remember that there are essentially four winning positions: better, different, faster, or cheaper. You can certainly position yourself as one of these, perhaps even two; capturing a position as three of them is tough and probably not desirable, and cornering all four is just about impossible. Not everyone is up to the task of creating another Starbucks. It's tempting, with price wars so rampant, to believe that a perception of being cheapest is easiest to establish. Yet in truth this is the most difficult because of fixed costs. It's like doing the limbo: you can go only so low, and then you're overextended or flat on your back. Definitely not the easiest position to be in. How about being better instead? Contrary to popular belief, this is perhaps the easiest position to take, since making an improvement or simply creating the impression of greater quality or ability has no constraints. One tip: when you capture the different category, you may get the better category as a by-product. Starbucks capitalized on this technique, as did Dennis Rodman, the oddball of basketball. He came up with a way to take two positions in fans' eyes: both different and better. Okay, maybe he wasn't actually better than his teammate Michael Jordan, who was unbeatable, but certainly he was perceived for a time as better (cooler, trendier) among those who were captivated by his style. His fashion and fascinating antics made him so unique that he became unforgettable. And because he was also an excellent ball handler, he became famous and highly regarded in his sport. BMW has also taken the better-different approach. 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