Question

A focused low-cost strategy

A) cannot be sustained over time unless the focuser is aggressive in entering other segments where it also can achieve a low-cost advantage
B) is the hardest of the four generic types of competitive strategies to employ successfully
C) involves serving buyers in the target market niche at a lower cost and a lower price than rival competitors
D) involves the use of deep price discounting to capture customers
E) entails trying to wrest market share away from rivals via extra advertising, above-average expenditures for promotional programs, and heavy use of point-of-sale merchandising techniques

Answer 1

(C). Involves serving buyers in the target market niche at a lower cost and a lower price than rival competitors

Step-by-step explanation:

The focused low cost strategy is a business level strategy that involves an organization choosing a segment or niche within a large market and then focusing its available resources on serving the needs of customers in that market segment.

It requires the organization to operate at low costs so it can offer prices of its products, lower than what competitors have to offer.