A company introduces a new product in the market.The company decides that the only way it could attract customers is to keep the price of the product lower than what its competitors offer in the market.Which of the statements would hold true for such a strategy?
A)The company invests heavily in market research.
B)The company makes an effort to offer unique features to the customers.
C)The company emphasizes on efficiency.
D)The company must spend substantial funds on research and development.
E)The company encourages expensive advertising campaigns.

Question

Quizplus · Accepted Answer

The company emphasizes on efficiency because cost-cutting and cost-saving measures would be necessary to keep the price of the product lower than competitors. The other options are not necessarily applicable for a strategy of keeping prices low.

A Company Introduces a New Product in the Market