Easy DriveIn,a Fast Food Facility,offers Products at Lower Prices Than

question 37

Multiple Choice

Easy DriveIn,a fast food facility,offers products at lower prices than its competitors in the market and has a drive-through-only operation with no indoor seating.What strategy is Easy DriveIn using to gain competitive advantage?

• A) A low-cost provider strategy
• B) A broad differentiation strategy
• C) A focused low-cost strategy
• D) A focused differentiation strategy
• E) A best-cost provider strategy

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Definitions:

Real GDP

Gross Domestic Product adjusted for inflation, representing the value of all goods and services produced over a specific time period at constant prices.

Depreciation

The gradual reduction in the economic value of the physical assets of a company due to wear and tear over time, or the loss in value of a currency.

NDP

Net Domestic Product; it calculates the total value of all goods and services produced within a country in a specific period minus depreciation.

Intermediate Product

Goods that are used in the production process to make other goods, rather than being bought by consumers.