As Porter says,the processes and systems in an organization pursuing differentiation must ________.
A) create sufficient value to cover their costs
B) provide products at lowest costs to customers
C) make it easy for products to be duplicated
D) give stiff competition to other similar products

Question

Quizplus · Accepted Answer

According to Porter, an organization pursuing differentiation must create sufficient value to cover their costs, i.e. the costs of adding unique features to their products or services that set them apart from competitors. Providing products at lowest costs to customers (B) is the goal of organizations pursuing a cost leadership strategy, while making it easy for products to be duplicated (C) goes against the very idea of differentiation. Giving stiff competition to other similar products (D) may be a result of pursuing differentiation, but it is not a necessary requirement.

As Porter Says,the Processes and Systems in an Organization Pursuing