Question

Which of the following conditions is well suited to the adoption of a business-level strategy based on differentiation? Buyer preferences and uses for the product are diverse Few ways to differentiate the product or service in ways valuable to consumers A number of rivals follow the same competitive approach Technological change is slow-paced

Answer 1

Question 1

option 1: There are diverse uses & preferences of the product. Hence this can not be condition for the adoption of differentiation business level strategy.

option 2:There are only few ways to differentiate your product whereas in differentiation business level strategy your product must be unique.

option 3: If you follow the different competitive approach then you will sure gain advantages of this, but your competitors also starts to follow your approach soon. Hence your benefit is no more longer.

option 4: This is the condition for adoption of differentiation business level strategy. By introducing an enhancement in technology you will create a unique product.

Question 2

option 1: Companies that are able to implement their cost leadership styles successfully give themselves a future advantage as well. Because they are able to offer a superior pricing model to their consumers, new competition in the market is limited because competitors may struggle to achieve the same price. Unless competitors are willing to undercut the company employing cost leadership, it becomes almost impossible to survive. That allows for market domination over time.