According to the value-price-cost framework, deploying a differentiation strategy involves costs that might well exceed those of the average competitor, but with a successful differentiation strategy, that disadvantage is more than made up for by
A)a rise in the perceived value of the differentiated good, giving the differentiator a clear competitive advantage over the average rival.
B)a rise in the price of the differentiated good, giving the differentiator a clear value advantage over the average rival.
C)no change in the price of the differentiated good, giving the differentiator a clear value advantage over the average rival.
D)no change in the perceived value of the differentiated good, giving the differentiator a clear competitive advantage over the average rival.
E)a drop in the price of the differentiated good, giving the differentiator a clear competitive advantage over the average rival.

Question

Quizplus · Accepted Answer

Deploying a successful differentiation strategy means that the perceived value of the differentiated good is higher than that of the average rival, giving the differentiator a clear competitive advantage, even if the costs of differentiation are higher.

According to the Value-Price-Cost Framework, Deploying a Differentiation Strategy Involves