A competitive strategy to be the low-cost provider in an industry typically does not work well when
A)price competition among rival sellers is especially vigorous.
B)commodity-based product prevails and minimal differentiation exists.
C)buyers incur low costs in switching their purchases from one seller or brand to another.
D)industry newcomers use low introductory prices to attract buyers and build a customer base.
E)emergent strategies are required to respond to changes in competitor power.

Question

Quizplus · Accepted Answer

A low-cost provider strategy is less effective when emergent strategies are needed to adapt to changes in competitor power, as it requires flexibility and innovation rather than just cost leadership.

A Competitive Strategy to Be the Low-Cost Provider in an Industry