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In which one of the following situations/circumstances is it most reasonable for a company to consider shifting away from the pursuit of a strategy to strongly differentiate its multi-featured cameras from the multi-featured camera brands of rival companies and sell them at a premium price?

A) When customer preferences for unique features decline
B) When the cost of production decreases significantly
C) When competitors lower their prices on similar products
D) When the market demand for multi-featured cameras increases

User Laune
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Final answer:

A) When customer preferences for unique features decline

In the situation where customer preferences for unique features decline, it is most reasonable for a company to consider shifting away from the pursuit of a strategy to strongly differentiate its multi-featured cameras from the multi-featured camera brands of rival companies and sell them at a premium price.

Step-by-step explanation:

In the situation/circumstance where customer preferences for unique features decline, it is most reasonable for a company to consider shifting away from the pursuit of a strategy to strongly differentiate their multi-featured cameras from the multi-featured camera brands of rival companies and sell them at a premium price. This is because if customers no longer value unique features, the differentiation strategy may not be effective in attracting customers and justifying a premium price.

When customer preferences for unique features decline, it is likely that customers are more focused on other factors such as price, convenience, or ease of use. In such a situation, it may be more reasonable for the company to shift towards a different strategy, such as offering lower-priced multi-featured cameras that meet the basic needs of customers without the need for extensive differentiation.

In summary, when customer preferences for unique features decline, it is most reasonable for a company to consider shifting away from the pursuit of strong differentiation and selling at a premium price. Instead, they may need to focus on other factors that customers value, such as price or convenience.

User Bera Bhavin
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