Maddox Corp

question 60

Multiple Choice

Maddox Corp., a smartphone manufacturer, in the initial years of its entry into the market, adopted a deliberate strategy of quickly capturing a sizeable portion of the market share by lowering the selling price of its smartphones. Which business strategy has the company adopted in the given example?

• A) ​First-mover strategy
• B) Imitation strategy
• C) ​Focus strategy
• D) Cost-leadership strategy

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Definitions:

Capacity Utilization Rate

A measure of how much of a company's or industry's potential output is being used, often expressed as a percentage.

Unemployment Rate

The percentage of the labor force that is jobless and seeking employment, a key indicator of economic health.

Opportunity Cost

The loss incurred from not choosing the immediate best alternative in the course of decision-making.

Economic Resources

Inputs used in the production of goods and services, often categorized into labor, capital, land, and entrepreneurship.