Which of the following activities can be a source of both a low-cost advantage and a differentiation advantage?
A) Creating new products
B) Targeting customer groups
C) Forming long-term relationships with suppliers
D) Developing innovative training programs

Question

Quizplus · Accepted Answer

Forming long-term relationships with suppliers can lead to both a low-cost advantage (by negotiating lower prices) and a differentiation advantage (by receiving preferential treatment such as exclusive access to new products or faster delivery times). The other activities listed may lead to a differentiation advantage (A, B, D) but do not necessarily result in a low-cost advantage.

Which of the Following Activities Can Be a Source of Both