Question

If TechnoGeek and VarsityBlue compete in the same market for the same customer and TechnoGeek generates $900 of economic value each time it sells a product or service while VarsityBlue generates $400 of economic value each time it sells a product or service, TechnoGeek has a(n) ________ of $500.

A) perceived benefit
B) economic value
C) cost advantage
D) competitive advantage

Answer 1

TechnoGeek has a competitive advantage of $500 over VarsityBlue.

Step-by-step explanation:

In this scenario, TechnoGeek generates $900 of economic value per sale, while VarsityBlue generates $400 per sale. The difference between the economic value generated by TechnoGeek and VarsityBlue is $500. Therefore, TechnoGeek has a competitive advantage of $500 over VarsityBlue.