A company with a broad target aimed at gaining a competitive advantage through lower costs will use a:
A)differentiation-based focus strategy
B)differentiation strategy
C)cost leadership strategy
D)cost-based focus strategy

Question

Quizplus · Accepted Answer

A cost leadership strategy is focused on achieving a competitive advantage by becoming the lowest-cost producer or provider in the industry. This allows the company to undercut competitors' prices and/or earn higher profit margins while maintaining comparable prices to competitors. A broad target market can help the company achieve economies of scale and lower costs through mass production or distribution, which can be passed on to customers in the form of lower prices.

A Company with a Broad Target Aimed at Gaining a Competitive