The basic purpose of a differentiation strategy is to deliver the product or service for a lower cost than the competition.

Question

Quizplus · Accepted Answer

The basic purpose of a differentiation strategy is to make the product or service unique and stand out from the competition, thus justifying a higher price point. The focus is on creating a competitive advantage based on non-price factors such as quality, features, design, customer service, and brand image.

The Basic Purpose of a Differentiation Strategy Is to Deliver