A differentiation-based strategy requires that a firm
A)be the lowest-cost provider in an industry.
B)emphasize the uniqueness of its product or services.
C)achieve the highest resource efficiency in an industry.
D)be the lowest-priced competitor in an industry.

Question

Quizplus · Accepted Answer

A differentiation-based strategy emphasizes the uniqueness of a firm's product or services, rather than competing solely on price or cost. This strategy typically involves investing in product development, marketing, and brand image to make the company's offerings stand out from those of its competitors. Therefore, option B, which emphasizes uniqueness, is the best choice for this question. Options A, C, and D all refer to cost or price-based strategies, which are not the same as differentiation-based strategies.

A Differentiation-Based Strategy Requires That a Firm