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CHAPTER 8 • IMPLEMENTING STRATEGIES: MARKETING, FINANCE/ACCOUNTING, R&D, AND MIS ISSUES 261

FIGURE 8-2
Examples of Product-Positioning Maps
A. A PRODUCT-POSITIONING MAP B. A PRODUCT-POSITIONING MAP
FOR BANKS FOR PERSONAL COMPUTERS

Personal High capability

Bank B Firm 1
Bank A
Bank C Firm 2
Good Bad
Aggressive Conservative customer customer
service service
Bank D Firm 4

Bank E
Firm 3

Impersonal Low capability

C. A PRODUCT-POSITIONING MAP FOR D. A PRODUCT-POSITIONING MAP
MENSWEAR RETAIL STORES FOR THE RENTAL CAR MARKET

Very latest, High convenience
fashionable
menswear

Firm 1 Firm 2
Average specialty
chain High Low
Low price High price customer customer
loyalty loyalty
Average mass
merchandiser or Average
discounter department
store Firm 3

Conservative,
everyday menswear Low convenience

Finance/Accounting Issues

In this section, we examine several finance/accounting concepts considered to be central to
strategy implementation: acquiring needed capital, developing projected financial state-
ments, preparing financial budgets, and evaluating the worth of a business. Some examples
of decisions that may require finance/accounting policies are these:

1. To raise capital with short-term debt, long-term debt, preferred stock, or common
stock
2. To lease or buy fixed assets
3. To determine an appropriate dividend payout ratio
4. To use LIFO (Last-in, First-out), FIFO (First-in, First-out), or a market-value
accounting approach
5. To extend the time of accounts receivable
6. To establish a certain percentage discount on accounts within a specified period
of time
7. To determine the amount of cash that should be kept on hand