The Competitive Strategy of Differentiation Requires That a Product or Service

question 38

Multiple Choice

The competitive strategy of differentiation requires that a product or service must be:

• A)Always readily available.
• B)Price competitive.
• C)Produced at the lowest possible cost.
• D)Unique in some important way, in terms of features, innovation, service or quality.
• E)Marketed in different ways to different groups.

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Definitions:

Emissions Tax

A tax imposed on the emission of pollutants, intended to provide economic incentives for reducing environmental harm.

Pigouvian Subsidy

A financial incentive given by a government to encourage activities that have positive externalities or beneficial effects on society that are not fully compensated in the market.

Marginal Social Benefit

The supplementary benefit to the community achieved by consuming or producing an extra unit of a good or service.

Computer Chips

Small electronic components that perform various computing functions within digital devices.