What Is Differentiation in Porter's Strategy to Surpassing the Competition

question 69

Multiple Choice

What is differentiation in Porter's strategy to surpassing the competition?

• A) Creating a unique culture with your customer base
• B) Offering a product or service that is perceived as being "unique" in the marketplace
• C) Providing purchasing history for individual customers and allowing them to compare their history to others
• D) Developing a unique working environment; one that incorporates IT to allow for efficient and off-site working

---

Definitions:

Output

The overall production of goods and services by a business or the entire economy.

MC Curve

The Marginal Cost Curve, which shows the cost of producing one more unit of a good or service.

Shutting Down

The short-run decision by a firm to cease production due to market conditions, though it may resume operations in the future.

Variable Cost

Costs that vary in proportion to the level of production or business activity.