TEL 340 1nd EditionExam # 2 Study Guide Lectures: 7-11Lecture 7 (January 29th)What are the laws of positioning #1-#5?Law #1 is the law of leadership. It is the first successful company/brand/identity tends to stay successful.Law #2 is the law of the category. This law says that if you cannot be number one in your category, start a new category.Law #3 is the law of the mind. This law says that it is better to be first in the mind of the customer, than first in the marketplace. Law #4 is the law of focus. This law says that it is critical to own an attribute in the customer’s mind. Law #5 is the law of the name. It says that the best advertising for a company/product is a descriptive name. Lecture 8 (January 30th) What are the laws of positioning #6-#8?Law #6 is the law of division. It says that over time, a category will divide into two or more categories. For example, television has divided into free TV and cable. Law #7 is the law of perspective. This law says that marketing results take place over a long period of time. The short-term benefits sometimes become long-term liabilities. Frequent sales condition consumers into waiting for the next sale. Law #8 is the law of line extension. It says that there is a temptation to extend the equity of the brand, and it usually backfires. New products require new names and giving the new product the name of the established product confuses consumers about the new product and alienates them about the established product. Lecture 9-11 (January 3rd – January 5th) What are the laws of positioning #9-#13? Law #9 is the law of the ladder. This law says that your marketing strategy is determined by yourposition on the competitive ladder. You can tell if the ladder is long if products are bought frequently, if the product is inexpensive, if the consumer has high personal/intimacy interest and if the product involves high personal status.Law #10 is the law of duality. It says that in a stable industry, consumer markets often become a 2 or 3 product contest. Law #11 is the law of the opposite. It says that secondary brands in a category can be competitive by positioning opposite #1’s attributes. Your overall business strategy is determined by the number of competitors you have. Law #12 is the law of unpredictability. This law says that you cannot predict the future. Eventually circumstances change. Law #13 is the law of candor. This means that products admitting a negative get credit for a positive. When you admit there’s a problem and criticizes your product or service, it is good. If you have a problem, admit it as soon as common sense