Caterpillar collects and analyses large volumes of data about how customers use their tractors.This permits them to ________ the cost of new product development efforts and to better ________ their products.
A) increase; differentiate
B) reduce; differentiate
C) position; understand
D) identify; disperse

Question

Quizplus · Accepted Answer

Caterpillar collects and analyzes large volumes of data about how customers use their tractors. Because this data helps Caterpillar better assess the uses and limitations of their current tractors, the firm can use data analytics to employ more focused and timely product improvement efforts. This allows the firm to simultaneously reduce the cost of new product development efforts and better differentiate their products.

Caterpillar Collects and Analyses Large Volumes of Data About How