Strategic analysis uses which of the following to help a firm improve its competitive position through an analysis of product and production complexity?
A)Differential cost drivers.
B)Discretionary cost drivers.
C)Structural cost drivers.
D)Marginal cost drivers.

Question

Quizplus · Accepted Answer

Structural cost drivers are used in strategic analysis to analyze the complexity of a firm's product and production process. These include factors such as product range, volume of output, degree of vertical integration, and process technology. By analyzing these drivers, a firm can identify areas where it can improve its competitive position through cost reduction or differentiation. Differential, discretionary, and marginal cost drivers are not directly related to product and production complexity.

Strategic Analysis Uses Which of the Following to Help a Firm