Sometimes a Company Can Make a Product That Is Too

question 41

True/False

Sometimes a company can make a product that is too reliable.An example of this would be a computer that cost a large premium over competition but would last for years.The problem is that technology changes too rapidly so better,cheaper,and faster models will come out and make the expensive,long-lasting model obsolete.

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Definitions:

Cost Leadership

A strategic approach where a company aims to become the lowest cost producer in its industry, offering its products or services at a lower price than its competitors.

Corporate Level

Refers to the highest level of strategic decision-making, concerning the overall direction of the entire organization.

Business Activity

Actions undertaken by companies or organizations such as producing, buying, selling, marketing, and managing products or services.

Best Managed Companies

Organizations recognized for outstanding management practices, operational efficiencies, and innovative strategies.