Focused strategies keyed either to low-cost or differentiation are especially appropriate for situations where:
A) the market is composed of distinctly different buyer groups who have different needs or use the product in different ways.
B) most other rival firms are using a best-cost producer strategy.
C) buyers have strong bargaining power and entry barriers are low.
D) most industry rivals have weakly differentiated products.
E) most industry participants are also using focused low-cost or focused differentiation strategies.

Question

Quizplus · Accepted Answer

Focused strategies are most effective when the market is composed of distinctly different buyer groups who have different needs or use the product in different ways. This allows the firm to target a specific group of buyers and meet their unique needs either through low-cost or differentiation strategies.

Focused Strategies Keyed Either to Low-Cost or Differentiation Are Especially