When formulating a marketing strategy, small companies usually are most successful when they:
A) try to be "everything to everybody."
B) focus on a particular market niche where they can excel at meeting customers' needs and wants.
C) compete with their larger rivals on the basis on price.
D) discover what the market leader is doing and pursue a "me-too" strategy that imitates the leader.

Question

Quizplus · Accepted Answer

Small companies typically have limited resources, so it is difficult to compete with larger rivals in terms of pricing, advertising and distribution. By focusing on a particular market niche, however, small companies can excel at meeting the specific needs and wants of their target customers which can lead to greater success. Trying to be everything to everybody is not a viable strategy as resources would be spread too thin, and imitating the market leader doesn't differentiate the small company from its competitors.

When Formulating a Marketing Strategy, Small Companies Usually Are Most