Targeting customers who are willing to pay more for a product or service that distinguishes itself from the competition in some meaningful way reflects a __________ business strategy.

Question

Quizplus · Accepted Answer

The differentiation business strategy focuses on creating a product or service that is unique and stands out from competitors, often resulting in customers being willing to pay a higher price for this distinction. This is different from a low-cost strategy, which focuses on offering products or services at a lower price point than competitors. A flexible strategy refers to the ability to adapt to changing market conditions, while an innovative strategy focuses on creating new and unique products or processes.

Targeting Customers Who Are Willing to Pay More for a Product