Summary: | The aim of this study was to determine an appropriate positioning strategy for a car wash business in Port Elizabeth to promote its competitive advantage in the market place. To meet this aim the customers' perceptions of the business were examined. It has been widely acknowledged by researchers and development agencies that Small, Medium and Micro Enterprises (SMMEs) and entrepreneurs play a crucial role in the economic development of a nation. This is particularly significant for a developing nation such as South Africa to address its critical challenges of unemployment and poverty which impact on social stability. Research reveals that the failure rate of SMMEs in South Africa is an alarming 75 percent. In this context, the need to explore innovative strategies to support and sustain the SMME sector has become increasingly important. A detailed survey of relevant literature revealed that the attributes of a firm that relate to the quality of service, pricing, attitudes of staff, image of the firm etc. can be considered as important variables which customers use to differentiate a business from its competitors. It is suggested that the success of a firm largely depends on its ability to position itself in a competitive environment by focusing on attributes which customers value the most in relation to similar businesses. This case study was approached from a positivist paradigm and data from 61 customers of the car wash were collected. The quantitative data were statistically analysed to examine the attributes of the business which the respondents of the survey perceived as offering the most value to them when compared to other car washes in the area. These attributes were then used to develop a positioning map for the business. The results showed that the attribute of the business which was most valued by the respondents was the manual washing of vehicles. A positioning strategy for the car wash based on this finding is suggested.
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