Question

Smarty Tots manufactures children's clothing and prices them at twice the price of other children's clothing brands. The clothes sell exceptionally well because customers believe that its clothes are made of non-irritant and non-allergenic fabric. Smarty Tots's competitors do not have access to this type of fabric and cannot produce the same quality of clothing. The special fabric used in the clothing gives Smarty Tots _____.

Answer 1

A sustainable competitive advantage.

Step-by-step explanation:

A sustainable competitive advantage occurs when there are differentials in your products or services that attract and retain customers. Through sustainable actions, differentiation through good practices that help reduce environmental impacts, it is possible for the company to gain competitive and economic advantages, as it translates to the consumer concepts of value and quality. This is the case with Smarty Tots, which manufactures children's clothing with a non-irritating, non-allergenic fabric different from its competitors and even at a higher price sells exceptionally well.