A Disadvantage of Pursuing a Cost Leadership Strategy Is That

question 55

Multiple Choice

A disadvantage of pursuing a cost leadership strategy is that

• A) technological change can make production methods obsolete.
• B) price wars make it hard to compete with differentiators.
• C) it costs more than a differentiation strategy because of the necessity of high capital investments.
• D) powerful buyers are a major threat.
• E) no quality control exists.

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Definitions:

Secondary Reinforcer

A stimulus that has become reinforcing through its association with a primary reinforcer, often used in behavioral conditioning.

Inherently Reinforcing

A quality of an activity or object that naturally encourages repeated engagement or use without external rewards.

Conditioned Response

A learned response to a previously neutral stimulus that has become associated with an unconditioned stimulus.

Behaviorist Perspective

A theory of learning based on the idea that all behaviors are acquired through conditioning, emphasizing observable behaviors over internal mental states.