Question

A strategy that distinguishes a company from its rivals and provides a sustainable competitive advantage:

a) Is a company's most reliable ticket to above-average profitability.

b) Is based heavily upon the emergent elements of its strategy.

c) Is a reliable indicator that the company has a profitable business model.

d) Is logical because the strategies of rival companies are often predicated on strikingly different business models.

Answer 1

A company's most reliable ticket to above-average profitability is a strategy that distinguishes it from its rivals and provides a sustainable competitive advantage.

Step-by-step explanation:

A strategy that distinguishes a company from its rivals and provides a sustainable competitive advantage is a company's most reliable ticket to above-average profitability. When a company is able to differentiate itself from its competitors and offer unique products or services, it can attract more customers and charge a premium price for its offerings. This leads to higher profits and long-term success in the market.

For example, Apple has differentiated itself from its rivals by focusing on innovation, design, and user experience. This has allowed Apple to command higher prices for its products and maintain a loyal customer base, resulting in above-average profitability.

In contrast, companies that lack a sustainable competitive advantage often struggle to achieve above-average profitability, as they face intense competition and price pressure from their rivals.