A focused differentiator has the advantage of
A) charging a premium price because of its low costs.
B) pursuing differentiation and low-cost strategies simultaneously.
C) being close to the customer.
D) superior materials management.
E) protection against price wars.

Question

Quizplus · Accepted Answer

A focused differentiator differentiates itself by targeting a specific market niche and catering to the unique needs of that market segment. This allows the company to be close to the customer and deliver value that is not available from competitors, giving it a competitive advantage. While a focused differentiator may charge a premium price for its offerings, this is not the primary advantage, as competitors may still try to undercut prices. Instead, the company's superior understanding of its niche market and ability to deliver value is what sets it apart.

A Focused Differentiator Has the Advantage of