In the context of rivalry, which of the following statements is true of products by a firm?
A)Differentiated products engender loyalty in customers.
B)Standardized products make it difficult for people to switch brands.
C)Firms that sell differentiated products often have to compete by offering discounts.
D)Product price wars decrease rivalry and increase profits.

Question

Quizplus · Accepted Answer

Differentiated products tend to create customer loyalty because consumers perceive them as unique or superior to other products on the market. This can help a firm stand out in a crowded marketplace and reduce the level of rivalry they face from competitors.

In the Context of Rivalry, Which of the Following Statements