Question

ldentify whether each statement in the following statement is true or false.

a. Businesses that do not adopt a differentiation, low-cost leadership, or focus strategy tend to be more successful than businesses that do adopt these strategies.
b. Employee abilities to create innovative products are critical for companies that adopt a low-cost leadership strategy.
c. Companies that use a focus strategy have narrow buyer groups.

Answer 1

Answer:

The answer is (a) False (b) False (c) True

Explanation:

Solution

(a)Businesses that do not acquire a differentiation,focus strategy, or  low-cost leadership, is liable to be more successful than businesses that do adopt these strategies - False because Companies or business does not necessarily need to adopt differentiation methods or low cost leadership, they might have their own market strategy to succeed.

(b) Employee abilities to develop innovative products are important for companies that use a low-cost leadership strategy - False .

(c) Companies that use a focus strategy have narrow buyer groups -Focus strategy : This strategy is used when a company knows its segment and has products that can competitively satisfies its needs.In this case it is true.