Definition of Positioning Strategy

Strategic positioning is when a company position itself in the competitive market to offer their products and services. A positioning strategy is determined by the self-evaluation of the company’s strengths and weaknesses, the value it can bring into the market, customers' demand, and the market gap. Companies position themselves to focus on only a few key areas and didn’t try to offer everything.


Strategic positioning is reflected from the two things; cost leadership strategy or premium price for premium quality. It is possible to offer premium products at a low price but with this strategy, companies may have to pay a big price by getting caught in the middle and lose their market share and profit margins. It is also known as the “kiss of death”.

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