A Focused Differentiation Strategy Can Lead to Attractive Competitive Advantage

question 29

Multiple Choice

A focused differentiation strategy can lead to attractive competitive advantage when

• A)industry leaders have chosen not to compete in the niche.
• B)buyers are not strongly loyal to a brand and a large number of other rivals are attempting to specialize in the same target segment.
• C)the industry has many different segments and market niches,thereby allowing a focuser to pick an attractive niche suited to its resource strengths and capabilities.
• D)the target market niche is big enough to be profitable and offers good growth potential.
• E)it is costly or difficult for multisegment competitors to meet the specialized needs of the target market niche and at the same time satisfy the expectations of their mainstream customers.

Recognize the theoretical frameworks explaining social dynamics in urban development and population distribution.

Analyze the impact of industrialization and urbanization on demographic transitions and social structures.

Understand strategies for managing population growth and its consequences.

Comprehend the relationship between social inequality and access to resources including food.

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Definitions:

Price-Fixing

An illegal agreement among competitors to set prices at a certain level, restricting competition and violating antitrust laws.

Penetration Pricing

A strategy where a product is priced lower than its competitors or market average to gain market share rapidly at the expense of short-term profitability.

Sales Volume

The total number of units sold within a specified timeframe.

Unit Profits

The profit earned on each unit of product sold, calculated by subtracting the cost to produce and distribute a unit from its sale price.