What Are the Two Actions That Firms Pursuing the Differentiation

question 102

Essay

What are the two actions that firms pursuing the differentiation strategy may take?

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Definitions:

Average Outgoing Quality Level

The expected quality level of a product batch as it leaves the production process or facility, often used in quality control processes.

AOQ

Average Outgoing Quality, a measure in quality control that represents the average quality level of the outgoing product after inspection and rectification processes.

AQL

Stands for "Acceptable Quality Level," a statistical measure used in quality control to determine the maximum number of defective units considered acceptable in a sample.

LTPD

Lot Tolerance Percent Defective; the highest defect rate that can be considered acceptable during the random sampling of a lot for acceptance testing.