For a Best-Cost Provider Strategy to Be Successful, a Company

question 58

Multiple Choice

For a best-cost provider strategy to be successful, a company must have

• A)excellent marketing and sales skills in convincing buyers to pay a premium price for the attributes/features incorporated in its product.
• B)resource strengths and competitive capabilities that allow it to incorporate upscale attributes at lower costs than rivals whose products have similar upscale attributes.
• C)access to greater learning/experience curve effects and scale economies than rivals.
• D)one of the best-known and most respected brand names in the industry.
• E)a short, low-cost value chain.

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Definitions:

Cross-selling

The practice of selling additional products or services to existing customers, often related to their initial purchases.

Product Alterations

Modifications made to a product to make it more attractive or suitable for the target market.

Attitudinal Loyalty

A customer's psychological commitment or attachment to a brand, often reflected in repeat purchases or preferences.

Psychographic

A classification criterion based on people's lifestyles, activities, interests, opinions, and values to understand consumer behavior better.