Which type of strategy is being used if a company offers a product at a lower cost than its competitors quizlet?

1. Low-cost
- Capabilities for driving costs out of the value chain system.
Examples: large-scale automated plants, an efficiency-oriented culture, bargaining power

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Which type of strategy is being used if a company offers a product at a lower cost?
What is a low cost strategy example?
What are the 4 competitive strategies?
When using a cost leadership strategy a firm is most likely to offer?

2. Borad differentiation
- Capabilities concerning quality, design, intangibles, and innovation Examples: marketing capabilities, R&D teams, technology

3. focused-low cost
- Capabilities to lower costs on niche goods Examples: Lower input costs for the specific product desired by the niche, batch production capabilities

4. focused differentiation
- Capabilities to meet the highly specific needs of niche members
Examples: custom production, close customer relations.

5. best-cost
- Capabilities to simultaneously deliver lower cost and higher-quality or differentiated feature
Examples: TQM practices, mass customization

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Which type of strategy is being used if a company offers a product at a lower cost?

Cost Leadership/Low Cost Cost leadership is a low-cost market strategy. Firms pursuing this type of strategy must be particularly efficient in engineering tasks, production operations, and physical distribution; they must also be able to minimize costs in marketing and research and development (R&D).

What is a low cost strategy example?

In a low cost strategy, the true winner is the company with the actual lowest cost in the market place. For example, if two companies make essentially identical products that sell at the same price in the market place, the one with the lower costs has the advantage of a higher level of profit per sale.

What are the 4 competitive strategies?

4 competitive strategy are as follows:.

Cost Leadership Strategy or Low-cost strategy..

Differentiation strategy..

Best-cost strategy..

Market-niche or focus strategy..

When using a cost leadership strategy a firm is most likely to offer?

A firm following a cost leadership strategy offers products or services with acceptable quality and features to a broad set of customers at a low price (Figure 5.3 “Cost Leadership”). This combination of an appropriate price and value is sometimes referred to as a strong value proposition.