Achieving a sure-cost advantage over rivals entails
A)concentrating on the primary activities portion of the value chain and outsourcing all support activities.
B)being a first-mover in pursuing backward and forward integration and controlling as much of the industry value chain as possible.
C)selling a mostly standard product and increasing the scale of operation.
D)minimizing R&D expenses and paying below-average wages and salaries to conserve on labor costs.
E)producing a standard product, redesigning the product infrequently, and having minimal advertising.

Question

Quizplus · Accepted Answer

Achieving a sure-cost advantage often involves selling a mostly standard product and increasing the scale of operation. This approach allows a company to spread its fixed costs over a larger output, reducing the average cost per unit, which is a key aspect of achieving cost leadership in a market.

Achieving a Sure-Cost Advantage Over Rivals Entails