Final answer:
Achieving a low-cost edge over rivals is accomplished by producing products more cheaply or designing them with desirable consumer traits, often through innovation and efficient production models.
Step-by-step explanation:
Success in achieving a low-cost edge over rivals comes from the ability of a firm to produce products more cheaply or offer products with desirable characteristics that consumers want. Market competition drives firms to seek new innovations and technologies that enable them to gain this advantage. For instance, a retailer like Amazon has succeeded due to its efficient production model and cost structure, which allows it to offer lower prices than competitors.
Firms like Amazon and even smaller businesses determine their offerings, output, and pricing strategies to compete effectively. The relentless pursuit of innovation, as emphasized by Gregory Lee of Samsung, is vital for maintaining a competitive edge and realizing above-normal profits before competitors can adapt to the changing market.