Hard Candy Is a Cosmetics Company That Markets the Palm

question 158

Multiple Choice

Hard Candy is a cosmetics company that markets the Palm Palette-all the makeup a "girl-on-the-go" needs without a cumbersome makeup bag.It comes in three shades-glam,funky,and girlies.Hard Candy targets women who are 20-somethings.Which one of Porter's generic business strategies is Hard Candy most likely using?

• A)differentiation focus
• B)cost focus
• C)differentiation
• D)cost leadership
• E)profit enhancement

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Definitions:

Flexible Budgets

A budget that adjusts or flexes with changes in volume or activity, allowing for a more accurate comparison of actual spending with budgeted amounts for different levels of activity.

Actual Overhead

The real costs incurred for indirect materials, labor, and expenses in operating a business.

Budgeted Manufacturing

The process of estimating the costs of production for a specific period, including materials, labor, and overhead.

Relevant Range

The band of production or activity levels within which the assumptions about cost behavior for a company remain valid.