Being a market leader is often a difficult position to maintain and defend. The market leader must protect its current market share through good defensive and offensive actions. Second, the firm can try to increase its market share, even if the market size remains constant. What is the third course of action recommended for market leaders?
A) The firm must pursue markets others do not want.
B) The firm must find new, innovative technologies on a monthly basis.
C) The firm must find ways to expand total market demand.
D) The firm must strive to win promotional awards.
E) The firm must be a cost leader.

Question

Quizplus · Accepted Answer

The third course of action recommended for market leaders is to find ways to expand total market demand, which can lead to increased sales and profits for the firm. This can be achieved through marketing efforts, product innovation, or other strategic initiatives that stimulate consumer demand and increase overall market size. Pursuing markets others do not want or constantly seeking new technologies may not necessarily lead to long-term success, while winning promotional awards or being a cost leader are not necessarily sufficient strategies for maintaining market leadership.

Being a Market Leader Is Often a Difficult Position to Maintain