For a best-cost provider strategy to be successful,a company must have
A) excellent marketing and sales skills in convincing buyers to pay a premium price for the attributes/features incorporated in its product.
B) the capability to incorporate upscale attributes at lower costs than rivals whose products have similar upscale attributes.
C) access to greater learning and experience curve effects and scale economies than rivals.
D) one of the best-known and most respected brand names in the industry.
E) a short,low-cost value chain.

Question

Quizplus · Accepted Answer

For a best-cost provider strategy to be successful,a company must have the capability to incorporate attractive or upscale attributes at a lower cost than rivals.This capability is contingent on: (1) a superior value chain configuration that eliminates or minimizes activities that do not add value,(2) unmatched efficiency in managing essential value chain activities,and (3) core competencies that allow differentiating attributes to be incorporated at a low cost.

For a Best-Cost Provider Strategy to Be Successful,a Company Must