A Blue Ocean Strategy Differs from a Low-Cost Strategy in That

question 56

Multiple Choice

A blue ocean strategy differs from a low-cost strategy in that

• A) the intent of a blue ocean strategy is not to be the absolute lowest-cost provider because a blue ocean must also increase perceived value.
• B) the focus of a blue ocean strategy is on lowering the economic value created, whereas a cost-leader focuses on increasing the economic value created.
• C) economies of scale are more important to a blue ocean strategy, while economies of scope are more important to a cost-leader.
• D) a blue ocean's research and development focus is on process technologies, and a cost-leader's focus is on product technologies.

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Definitions:

Elizabeth Cady Stanton

A leading figure of the early women's rights movement, known for her advocacy for women's suffrage and rights.

Lucy Stone

An American orator, abolitionist, and suffragist, and a vocal advocate for women's rights in the 19th century.

Return on Investment

A measure used to evaluate the efficiency or profitability of an investment, calculated as the ratio of net profit to the initial cost of the investment.

Corporate Objective

The specific goals or targets that an organization aims to achieve, which guide its strategies and operational activities.