An Integration Strategy Differs from a Low-Cost Strategy in That

question 47

Multiple Choice

An integration strategy differs from a low-cost strategy in that:

• A) the intent of an integration strategy is not to be the absolute lowest-cost provider because an integrator must also increase perceived value.
• B) the focus of an integrator is on lowering the economic value created, whereas a cost leader focuses on increasing the economic value created.
• C) economies of scale are more important to an integrator, while economies of scope are more important to a cost leader.
• D) an integrator's research and development focus is on process technologies, and a cost-leader's focus is on product technologies.

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Definitions:

Psychological Factors

Elements associated with the mind or mental processes that can influence behavior and well-being.

Sociocultural Factors

Aspects of society and culture that affect an individual's behavior patterns, attitudes, and perceptions.

Biological Factors

Refers to the physiological and genetic influences on human behavior and mental health conditions.

Environmental Factors

Elements in the surrounding environment that can influence the development, behavior, and well-being of individuals or populations.