Vendre Inc., a clothing company, spends over $2 billion annually on advertising for its various products. It gains market leadership even though other, smaller brands produce products of higher quality and offer better prices. This is an example of how a large advertiser can help achieve a competitive advantage based on _____.

Question

Quizplus · Accepted Answer

Vendre Inc. achieves market leadership through differentiation, as its extensive advertising creates a perceived difference in its products, allowing it to stand out despite not having the best quality or prices.