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Abila's Family, Which Recently Moved to the United States from Lebanon

Question 23

Multiple Choice

Abila's family, which recently moved to the United States from Lebanon, is highly skilled in working with leather goods. They had a small manufacturing and distribution company back home, and they have decided to start a new company in the midwestern city where they now live. Abila's organizational and leadership abilities have made her a natural choice to run the venture, Levantine Leather Goods, and at first business is good. Levantine soon develops a reputation for personalized service, and customers know that special orders are never a problem. However, Abila and her company soon face stiff competition from Allied Equipment Supply, a nationwide retail chain that sells leather goods, among other items, as prices significantly lower than those charged by Levantine. In order to effectively compete, Abila's company should


A) go head-to-head with Allied Equipment Supply on the national level.
B) focus on providing quality goods in a timely fashion to niche markets.
C) stop providing customized service, which is costly and time-consuming.
D) adopt a low-price, high-volume strategy to retain its customer base.
E) dramatically increase its workforce in order to expand production.

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