Element Inc

question 49

Multiple Choice

Element Inc. manufactures a new range of smartphones to take on incumbent competitors. Element grabs a huge chunk of the market share in its first year because of its feature-rich smartphones. Element's smartphones come with bigger screen sizes, greater memory capacities, and a free online music subscription for two years. The competitors fail to lure customers despite massive price reductions. Which of the following strategies is being used by Element?

• A)focused niche strategy
• B)loss leader strategy
• C)cost leadership strategy
• D)product differentiation

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Definitions:

Non-Threatening Invasion

An approach or action that enters someone's personal space in a manner perceived as safe or non-intimidating.

Acquaintance

A person one knows slightly, but who is not a close friend.

Bald-Faced Lie

An obvious lie that is told without any attempt to conceal the untruth.

Falsification

The act of disproving a theory or hypothesis, generally considered a critical part of the scientific method.