Which of the following is not one of the risks of a cost leadership strategy?
A) The technology that the organization has been using changes.
B) Pricing for higher quality that is too far above the price of the competition.
C) Competitors can achieve viable imitations.
D) Other bases for cost leadership erode.
E) Proximity in differentiation is lost.

Question

Quizplus · Accepted Answer

Pricing for higher quality that is too far above the price of the competition is not a risk of a cost leadership strategy, as it goes against the main goal of cost leadership, which is to offer products or services at a lower cost than the competition. The other options listed are all potential risks of pursuing a cost leadership strategy.

Which of the Following Is Not One of the Risks