Which of the following statements is true about the strategies of competitive advantage?
A) A company that engages in a differentiation strategy aims to provide a product at as low a price as possible to a broad audience.
B) In a low-cost focus strategy,a firm attempts to target customers with special needs who have been underserved historically.
C) In a differentiation strategy,a firm seeks to be unique in its industry along a group of dimensions that are valued by consumers.
D) In a cost leadership strategy,the manager must pursue just a single source of lowcost
Advantage to compete effectively.

Question

Quizplus · Accepted Answer

A differentiation strategy involves offering unique and valued features to customers, not necessarily at a low price. Option A is incorrect as it describes a strategy of low-cost leadership. Option B is incorrect as it focuses on a particular customer group, as opposed to a broad audience. Option D is incorrect as a cost leadership strategy involves finding multiple sources of cost advantage to compete effectively.

Which of the Following Statements Is True About the Strategies