An expensive boutique hotel in your city offers valet parking, an extensive wine list, a Culinary Institute of America-trained chef and hotel rooms starting at $400 (average hotel rate in your city is $145)per night. A salesperson from a local marketing firm that offers a coupon (discount)book filled with two-for-one dinner deals from many local businesses has contacted the manager of this hotel to see if she is interested in being promoted through this coupon book. Should the manager purchase space in this book?

Positioning involves the various activities that the business undertakes to create a perception of the product or service in the consumer's mind. Companies position the product based on their target markets. The luxury hotel is attempting to position itself as high-end with a high price, extra services like valet parking, and an upscale restaurant. Using a promotion such as a coupon does not fit into the position that the hotel would like to create. All the factors of the marketing mix must be coordinated to effectively position a product.