When pursuing both a low-cost and differentiation strategy,
A)organizations tend to have higher levels of performance.
B)a greater focus on differentiation will result in reduced costs.
C)managers are likely to get stuck in the middle.
D)a greater focus on low-cost will lead to more innovation.
E)organizations should focus on both equally.

Question

Quizplus · Accepted Answer

Pursuing both strategies can lead to being "stuck in the middle," where the organization fails to achieve either a strong cost advantage or a strong differentiation advantage.

When Pursuing Both a Low-Cost and Differentiation Strategy