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The Strategic Focus of Chapter 4 Highlights PetSmart and Its

Question 24

Multiple Choice

The strategic focus of Chapter 4 highlights PetSmart and its business level strategy. What is the primary risk of PetSmart's strategy of "engaging the enthusiast" pet owners?


A) Customers might decide that the price differential between their product and competitors' products is too large.
B) The processes PetSmart uses to produce and distribute its products and services could become obsolete because of competitors' innovations.
C) PetSmart might focus too much on cost reductions at the expense of trying to understand customers' perceptions of "competitive levels of differentiation."
D) Competitors may learn how to successfully imitate PetSmart's strategy.

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