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Each of the following is likely to help a company's low-cost provider strategy succeed EXCEPT:

A. resources and capabilities to keep costs below those of its competitors.
B. cost-effective management of value chain activities better than rivals.
C. effective leveraging of cost drivers.
D. having the innovative capability to bypass certain value chain activities being performed by rivals.
E. capabilities to simultaneously deliver lower cost and higher-quality/differentiated features.

User Gav
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Final answer:

E. capabilities to simultaneously deliver lower cost and higher-quality/differentiated features is the factor least likely to help a low-cost provider strategy succeed, because such a strategy typically focuses on cost reduction rather than differentiation.

Step-by-step explanation:

The question asks which factor is not likely to aid a company's low-cost provider strategy. While having resources and capabilities to keep costs low, effectively managing the value chain, and leveraging cost drivers are all supportive of a low-cost strategy, providing both lower costs and higher-quality/differentiated features is typically not associated with a low-cost provider strategy. This is because a low-cost strategy often requires a focus on efficiency over differentiation, which may mean compromising on certain quality or unique features to maintain cost leadership.

Moreover, the concept of comparative advantage is relevant as it underlines how companies or economies gain an edge by specializing in areas where they are most productive relative to others. Slicing up the value chain and achieving economies of scale can further enhance a company's competitive positioning, which relates to keeping costs low but not necessarily to providing differentiated features.

User Reggaelizard
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