The essence of a broad differentiation strategy is to
A) appeal to the high-end part of the market and concentrate on providing a top-of-the-line product to consumers.
B) incorporate a greater number of differentiating features into its product/service than rivals.
C) lower buyer switching costs.
D) outspend rivals on advertising and promotion in order to inform and convince buyers of the value of its differentiating attributes.
E) offer unique product attributes in ways that are valuable and appealing and that buyers consider worth paying for.

Question

Quizplus · Accepted Answer

The essence of a broad differentiation strategy is to offer unique product attributes in ways that are valuable and appealing and that buyers consider worth paying for. This approach goes beyond incorporating a greater number of differentiating features into its product/service than rivals and involves creating a unique value proposition that stands out in the market. Lowering buyer switching costs or outspending rivals on advertising and promotion may also be part of the strategy, but they are not the essence of a broad differentiation strategy. The focus is on offering unique value to customers through product attributes.

The Essence of a Broad Differentiation Strategy Is to