Competitive Advantage with Product Differentiation Occurs When a Company

question 18

Multiple Choice

Competitive advantage with product differentiation occurs when a company

• A)creates competitive advantage by grouping customers on the basis of important differences in their needs.
• B)helps firms keep costs to a minimum.
• C)creates,makes,and sells a product in a way that better satisfies customer needs than its rivals do.
• D)is focused on corporate-level strategy.
• E)allows its managers to ignore costs.

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Definitions:

Retailers

Businesses that sell goods or commodities directly to consumers, typically in small quantities.

Wholesalers

Businesses that buy goods in large quantities from manufacturers and then sell them in smaller amounts to retailers or other businesses.

Foreseeable Plaintiffs

Individuals who could be reasonably expected to be affected by the defendant's actions or negligence and therefore may have grounds to sue.

Product Liability

Product liability refers to the legal responsibility of manufacturers and sellers for injuries caused by defective or dangerous products.