If you want to reduce the incentive of rivals to undercut your company's product price, your company needs to _____ as much as possible.
A)differentiate its product
B)increase substitution
C)enhance bargaining power of suppliers
D)lower switching costs

Question

Quizplus · Accepted Answer

By differentiating its product, the company creates unique features and benefits that are not easily replicated by its rivals. This reduces the direct competition and significantly lowers the incentive for rivals to undercut the company's product price.

If You Want to Reduce the Incentive of Rivals to Undercut