Applying ISM to Construct a Value-Based Decision Model

Marketing positioning is the process of building and maintaining a distinctive image, relative to other competitors, in the minds of the consumers (Javalgi et al. 1995), and firms can use this as a communication tool to research target customers and increase market share (Rise and Trout 1986). In the 1950s, psychologists developed “perceptual maps” for positioning objects in two-dimensional “virtual” spaces, based on perceived similarities and differences among the objects. However, a problem exists when customers view the firm’s position differently than the manner in which the company sees itself. One possible reason is that the virtual space utilizes only two dimensions, which are generally developed by using discriminate analysis, and only refer to object characteristics that are specified in advance, while in reality consumers consider multiple attributes at the same time in their decision making process (Zanjani et al. 2009). Perceptual maps can thus only provide limited information for a firm, and the results cannot be developed into a useful marketing strategy to satisfy the multiple needs of consumers (Yang 2010).