During market testing, Elixir Cosmetics (EC)realized that the cosmetics industry was dominated with multiple, well-established brands.These brands mostly sold their products in exclusive outlets and departmental stores.A new entrant like EC would require a different business model to be successful.Thus, EC started selling its products through direct marketing.In this scenario, Elixir Cosmetics accomplished substitution primarily through _____.
A) path dependence
B) technology transfer
C) knowledge diffusion
D) strategic equivalence

Question

Quizplus · Accepted Answer

In this scenario, Elixir Cosmetics accomplished substitution primarily through strategic equivalence. An avenue of imitation for a firm's valuable and rare resource is through substitution. This is often accomplished through strategic equivalence.

During Market Testing, Elixir Cosmetics (EC)realized That the Cosmetics Industry