The integration of a cost leadership strategy and a differentiation strategy leads to a competitive advantage because:
A)managers have greater flexibility in the actions they can take
B)different firms need different types of strategies to be successful
C)firms can offer some differentiated features at a relatively low cost
D)one strategy is not enough for most large firms

Question

Quizplus · Accepted Answer

By integrating a cost leadership strategy and a differentiation strategy, firms can offer some differentiated features at a relatively low cost. This allows them to appeal to both price-sensitive customers and customers who are willing to pay a premium for unique features or attributes. This can create a competitive advantage for the firm, as it is able to capture a larger share of the market than firms that only pursue one of these strategies.

The Integration of a Cost Leadership Strategy and a Differentiation