Big Lots Is Able to Compete Against Wal-Mart with a Cost

question 34

Multiple Choice

Big Lots is able to compete against Wal-Mart with a cost leadership strategy because of its strengths in highly disciplined merchandise cost and inventory management system. This illustrates the

• A) ability of Big Lots to imitate Wal-Mart's tightly integrated activity map.
• B) ability to survive against a dominant competitor by changing from a broad competitive scope to a narrow competitive scope.
• C) fact that support activities in the firm can provide sources of cost reduction.
• D) importance of effective use of primary activities in the value chain.