A Low-Cost Provider Strategy Can Defeat a Differentiation Strategy When

question 43

Multiple Choice

A low-cost provider strategy can defeat a differentiation strategy when

• A) sellers are not charging a price premium.
• B) many rivals are pursuing a similar differentiation approach.
• C) a company can offset thinner profit margins per unit by selling enough additional units to increase total profits.
• D) there are few ways to differentiate a product or a service and many buyers perceive these differences valuable.
• E) customers are basically satisfied and don't think extra attributes are worth a higher price features.