Nick,the R&D department manager of Precise,a manufacturer of high-quality watches for over 125 years,was told in a management meeting that the company's biggest competitor,Accurate Watches,is introducing a low-cost,yet attractive line of watches that will be sold in Walmart stores.As a result,the top management of Precise is pressuring Nick to lower the production costs on existing products and also to develop a line of watches that can be manufactured inexpensively to be marketed to a wider variety of customers at a much lower price.This is an example of a quality-leadership strategy.

Question

Quizplus · Accepted Answer

The cost-leadership strategy is to keep the costs,and hence prices,of a product or service below those of competitors and to target a wide market.

Nick,the R&D Department Manager of Precise,a Manufacturer of High-Quality Watches