Question

An entrepreneur is investigating starting a company that provides tax advice to small companies. In order to position his company differently from the existing competitors, the entrepreneur must: a. offer tax advice at a higher quality than the best competitor. b. analyze the reach, richness, and affiliation the company must have with its customers. c. offer tax advice at a price lower than the cheapest competitor. d. provide tax advice either in a different manner or provide a different kind of tax service than competitors.

Answer 1

Answer: Option D

Explanation: The scope of providing better quality services in case of tax consultancy is quite difficult as the tax rates and rules are already set and there is little area for flexibility.

However, the manner of providing service could be changed maximizing the satisfaction of the customer or such areas of service could be covered which are not provided by the other firms.

Hence from the above we can conclude that the correct option is D.