In a first of its kind, a multinational tire manufacturer, introduces a new range of premium tires that can handle extreme temperatures better at a higher price. The tires are designed keeping in mind the climatic conditions in the Middle East and products are marketed only in the Middle East. The manufacturer is pursuing ____.
A) a focused differentiation strategy
B) a focused low-cost strategy
C) a general differentiation strategy
D) a general low-cost strategy
E) both, a low-cost as well as a differentiation strategy

Question

Quizplus · Accepted Answer

The manufacturer is pursuing a focused differentiation strategy by targeting a specific market (Middle East) with a product that caters to their unique needs (extreme temperatures). This strategy allows the company to charge a premium price for their specialized product.

In a First of Its Kind, a Multinational Tire Manufacturer