A company attempting to be successful with a broad differentiation strategy has to
A)study buyer needs and behavior carefully to learn what buyers consider important, what they think has value, and what they are willing to pay for.
B)incorporate more differentiating features into its product/service than rivals.
C)concentrate its differentiating efforts on marketing and advertising (where almost all differentiating features are created).
D)over-differentiate so that product quality, features, or service levels exceed the needs of most buyers.
E)concentrate on offering advanced features, whether or not they have value to the customers, to create unique products.

Question

Quizplus · Accepted Answer

A company pursuing a broad differentiation strategy needs to carefully study buyer needs and behavior to understand what is important to them, what they value, and what they are willing to pay for. This information can then be used to create a differentiated product/service that meets the needs of a broad customer base. While incorporating more differentiating features into the product/service is important, it should be done in a way that aligns with customer needs and preferences. Over-differentiating may lead to unnecessary costs and reduced profitability, so advanced features should only be added if they have genuine value to customers. Finally, a broad differentiation strategy requires efforts beyond marketing and advertising, including product design, quality control, and customer service.

A Company Attempting to Be Successful with a Broad Differentiation