What is "positioning"?
Positioning is the fight for the consumers mind. The different marketers want to secure a place in the mind of the target consumer. To do this the marketers use "positioning". What this means is that the marketers want their product to come to mind when the consumer thinks about purchasing that product type.
For example: The marketers of "Liril" soap want the people to think "Liril" when they think soap. The marketers of "Colgate" want the consumers to think "Colgate" when they think toothpaste etc.
In India, "Xerox" is what comes to mind when people think of "photo-copying". "Colgate" comes to the mind of people when they think toothpaste. However, now with intensive competition things are changing.
Positioning a product in the minds of the consumer is becoming harder. However, positioning is going to play a very important role in marketing in an overly competitive environment.
If you have a particular product or service, then you want people to think of you when they think of buying the kind of product or service you sell. In India there are few stores that hold a strong positioning in the mind of the consumers. In other countries, there are special stores where you can go only to go to do your laundry. There are special stores where you can go only to "Xerox". There are special stores that are dedicated only for the buying of candles, perfumes etc. These stores have a strong positioning in the minds of the consumers. When the consumer thinks candles he goes to the candles store. When the consumer thinks "Xerox" he goes to the copying stores.
In India we have a lot of general stores. The "Banya" shop has everything in it. There are few specialized stores. There are specialized "Hardware shops" or in the whole sale market there are whole shops dedicated to the selling of one item like "ropes" etc. However these stores are not everywhere...