In which one of the following market circumstances is a broad differentiation strategy generally not well-suited?
A) When buyer needs and preferences are too diverse to be fully satisfied by a standardized product
B) When few rivals are pursuing a similar differentiation approach
C) When the products of rivals are weakly differentiated and most competitors are resorting to clever advertising to try to set their product offerings apart
D) When there are many ways to differentiate the product or service and many buyers perceive these differences as having value
E) When technological change is fast-paced and competition revolves around rapidly evolving product features

Question

Quizplus · Accepted Answer

When the products of rivals are weakly differentiated and most competitors are resorting to clever advertising to try to set their product offerings apart, a broad differentiation strategy is generally not well-suited. This is because in such a market, buyers are likely to be more focused on price and other factors than on the specific features of a product. As a result, a broad differentiation strategy is unlikely to be successful in attracting and retaining customers.

In Which One of the Following Market Circumstances Is a Broad