A Competitive Strategy to Be the Low-Cost Provider in an Industry

question 6

Multiple Choice

A competitive strategy to be the low-cost provider in an industry works well when

• A) price competition among rival sellers is especially vigorous.
• B) commodity-based product prevails and minimal differentiation exists.
• C) buyers incur low costs in switching their purchases from one seller or brand to another.
• D) industry newcomers use low introductory prices to attract buyers and build a customer base.
• E) All of these choices are correct.

---

Definitions:

Phosphate Groups

Chemical groups containing phosphorus and oxygen that play a crucial role in the energy transfer within cells.

Energy

The capacity to do work.

Thymine Dimers

Molecular lesions formed by covalent bonding between two adjacent thymine bases in DNA, often as a result of ultraviolet radiation.

UV Light

Ultraviolet light, a type of electromagnetic radiation with wavelengths shorter than visible light but longer than X-rays, harmful to living tissue.