As Porter says,the processes and systems in an organization pursuing differentiation strategy must ________ to avoid negative margins.
A)create sufficient value to cover their costs
B)provide products at lowest costs to customers
C)make it easy for products to be duplicated
D)give stiff competition to other similar products

Question

Quizplus · Accepted Answer

Pursuing differentiation strategy means the organization is offering unique and valuable products or services, which may come with higher costs. Thus, to avoid negative margins, the organization must create sufficient value to cover their costs. Option B is the strategy for the low-cost provider, while options C and D are not applicable for an organization pursuing differentiation strategy.

As Porter Says,the Processes and Systems in an Organization Pursuing