Question

Broad differentiation strategies generally work best in market circumstances where:

a) Customers are price-sensitive.
b) Competition is based on price alone.
c) Customers seek unique features.
d) Products are commodities.

Answer 1

Broad differentiation strategies work best in markets where customers seek unique features and are not solely price-sensitive. This strategy allows companies to charge higher prices and reduce the impact of price competition from competitors.

Step-by-step explanation:

Broad differentiation strategies generally work best in market circumstances where customers seek unique features. By offering unique features or benefits that are not easily replicated by competitors, a company can differentiate its products and attract customers who are specifically looking for those unique features. This strategy allows the company to charge a higher price for its differentiated products and also reduces the impact of price competition from competitors.