Business Level Strategies: Introduction

A company using a focused cost leadership strategy targets the entire market with a low-cost approach.

Product customization allows companies to appeal to customers who value self-expression.

Business-level strategies are concerned with managing the interests and operations of a multi-business corporation.

Cost leadership and focused cost leadership are the same strategy.

The primary goal of business-level strategies is to satisfy customers' needs with the product or service.

Nike's NIKEiD platform allows customers to customize their sneakers by choosing only colors.

Companies can create a competitive advantage by offering products or services that are perceived as unique, valuable, and desirable by customers.

Cost leadership strategy involves offering the highest price for products.

Efficiency improvements are a key aspect of a cost leadership strategy.

Focused cost leadership involves targeting the entire market with a high-cost approach.

Companies that execute a cost leadership strategy can attract customers who are not sensitive to price.

Differentiation strategy involves offering products or services at lower prices than rivals.

Business-level strategies are the same as corporate-level strategies.

A company that masters the differentiation strategy can cultivate a loyal customer base willing to pay lower prices for its products.

Technological innovation is not a key aspect of a cost leadership strategy.

Building a strong brand image is a key aspect of a cost leadership strategy.

Firms employing a differentiation strategy focus on offering products or services at lower prices than competitors.

Product customization is a key aspect of a differentiation strategy.