A Differentiation-Based Competitive Advantage

question 60

Multiple Choice

A differentiation-based competitive advantage

• A)nearly always is attached to the quality and service aspects of a company's product offering.
• B)usually is the result of highly effective marketing and advertising to enhance the brand, raise awareness, and build consistent customer experience.
• C)requires developing at least one distinctive competence that buyers consider valuable.
• D)hinges on a company's success in developing top-of-the-line product features that will command the highest price premium in the industry.
• E)often hinges on incorporating features that raise the performance of the product or lower the buyer's overall costs of using the company's product, or enhances buyer satisfaction in intangible or noneconomic ways, or delivers value to customers by differentiating on the basis of competencies and capabilities that rivals can't match.

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Definitions:

Conspicuous Consumption

The practice of purchasing and using goods of higher quality or quantity than needed, to display wealth or social status.

Louis Vuitton

A luxury fashion brand founded in France, known for its leather goods, high-end clothing, and accessories, characterized by distinctive designs and craftsmanship.

Assets

Economic resources or valuable items owned by individuals or organizations that have potential or actual value and can contribute to wealth.

Wealth

An abundance of valuable resources or material possessions, or the control of such assets.