Info Tech, Inc. makes complex telecommunications products, such as cellular telephones. Since this company has a distinctive competency in research and development, it should try to differentiate its product through:
A) reliability.
B) innovation.
C) advertising.
D) service.
E) low pricing.

Question

Quizplus · Accepted Answer

Since Info Tech, Inc. has a distinctive competency in research and development, it should try to differentiate its product through innovation. This means introducing new and unique features or capabilities that its competitors do not offer, which will make its products stand out in the market. Reliability, service, and advertising are also important factors, but they are not as closely tied to Info Tech, Inc.'s core competency in research and development. Low pricing is not a good strategy for a company that specializes in complex telecommunications products because it may suggest that the quality or technology of its products is inferior to competitors.