A focused differentiation strategy aims at securing competitive advantage:
A) by providing niche members with a top-of-the-line product at a premium price.
B) by catering to buyers looking for an upscale product at an attractively low price.
C) with a product offering carefully designed to appeal to the unique preferences and needs of a narrow,well-defined group of buyers.
D) by developing product attributes that no other company in the industry has.
E) by convincing a narrow,well-defined group of buyers that the company has a truly world-class product.

Question

Quizplus · Accepted Answer

A focused differentiation strategy aims at serving a narrow, well-defined group of buyers with a product offering tailored to their unique preferences and needs. This strategy requires the company to deeply understand its target customers and design a product that meets their specific demands. By doing so, the company can charge a premium price and command customer loyalty, which can lead to a sustainable competitive advantage. Choices A, B, D, and E do not fully capture the essence of a focused differentiation strategy.

A Focused Differentiation Strategy Aims at Securing Competitive Advantage