ve activities of the participants of the market process is to establish the causes and diagnosis of qualitative and quantitative transition conditions of price competition in non-price competition.price competition raises a range of important problems of the market. Among them interbranch mechanism of profits in the form of input-output problems, overcapacity, the impact on sales of non-price factors preferences and choices, competitiveness, cost of consumption.price competition - competition method, which is based on no price advantage over competitors, and achieve a higher quality, technical level of technological excellence, with greater reliability, longer life and other more sophisticated consumer properties.role in non-price competition play: design, packaging, subsequent maintenance, and advertisingprice competition minimizes price as a factor in consumer demand, allocating goods or services through the promotion packing, delivery, service, availability, and other marketing factors.example, the company is trying to attract more potential buyers beautiful packaging or offer the consumer more favorable compared to the competitor conditions. The most important element of price competition is advertising. Advertising can help the company increase its market share and attract consumers.price competition sellers move consumer demand curves, emphasizing the distinctive features of its products. This allows the company to increase sales at a given price or sell at the initial amount higher.risk in this case due to the fact that consumers cannot be regarded as a dealer better than the competition. In this case they will buy cheaper goods, which, in their view, similar to more expensive. Firm based on price competition should reduce prices to increase sales.products is an important means of implementing technical innovations and improvements to the product over time. The improvement of the product may be growing in two different senses. First, a successful product improvement of one firm or obliges competitors to imitate, if they can do it, surpass temporary market advantage from this company, otherwise they cannot avoid losses. Second, profits derived from the successful improvement of the product may be used to finance its further improvement. However, again there are significant criticisms of the product changes that may occur in conditions of monopolistic competition. Critics point out that many of the changes in the product are more apparent than real. They represent minor temporary changes in the product, which does not increase its durability, effectiveness or usefulness. More exotic container, packaging or bright « guidance shine » often constitute the main lines of product changes. It is also proved that, especially in the case of consumer durables goods and a limited period of use may be modified by the principle of « planned obsolescence » where firms improves, your product exactly to the extent necessary in order to make the average buyer to feel dissatisfaction with last year's model.
1.1 Methods of non-price competition
# «justify"> The introduction of new products (product differentiation);
The introduction of products that have new consumer properties, improved quality, more advanced design, more beautiful packaging (differentiation of consumer properties of goods) second kind of differentiation will apply when...
