Final answer:
The statement is false as marketers can position their products not only against other brands within the same product class but also against different product categories to highlight unique benefits. They use significant advertising and marketing efforts in their strategies, and oligopolists may collate to compete with strong brand names.
Step-by-step explanation:
The statement that while positioning by product class, marketers only position against brands, and not against other product categories, is false. Positioning can occur against other brands within the product class, but it can also occur against different product categories. This is a strategic choice made based on the brand's objectives and market situation.
Product differentiation, especially in a monopolistic competition landscape, allows for a wide variety of products within the same category. Marketers might position their products against other categories if they believe this will highlight the unique benefits of their product. For example, energy drinks may be positioned not only against other energy drinks but also against coffee, illustrating different use cases or consumer benefits.
Creating such product positioning strategies involves significant advertising and marketing efforts. Firms can conglomerate into oligopolies to become large enough to compete with established brand names, presenting themselves as viable alternatives. Thus, the process of positioning is multifaceted and not limited to singular competitive brand targeting.