Features of differentiation strategy includes:
(i) Innovation is a key factor;
(ii) Market research and product development are necessary;
(iii) Low cost objective is a must;
(iv) Market segmentation is a core factor.
A) (i) and (ii) only
B) (i), (ii) and (iii) only
C) (iii) and (iv) only
D) None of the above

Question

Quizplus · Accepted Answer

The features of differentiation strategy listed are innovation and market research which are essential for product differentiation. Low cost objective is not a feature of differentiation strategy, as it focuses more on value addition than cost reduction. Market segmentation is not a core factor but rather a strategy used in targeting specific market segments for the differentiated product. Therefore, the correct choice is (i) and (ii) only.

Features of Differentiation Strategy Includes