Jeff wants to open a new coffee shop in his town where there are already two other coffee shops. In order to attract more customers, James decides to charge a lower price for each cup of coffee than what his competitors charge. This is an example of a(n) _____ strategy.
A) established
B) generic
C) marked
D) general
E) standard

Question

Quizplus · Accepted Answer

This is an example of a generic strategy, specifically cost leadership, where a business seeks to attract customers by offering lower prices than competitors.

Jeff Wants to Open a New Coffee Shop in His