Exam 6: Business Strategy: Differentiation, Cost Leadership, and Blue Oceans

Juanita Apparels Inc.outsources its production to contract manufacturers located in underdeveloped nations where unskilled labor is available in plenty for very low wages.This has helped the apparel brand become a price leader in the industry.Which of the following is the key driver behind Juanita Apparel's strategic position?

A blue ocean strategy tends to be successful only if a firm is able to rely on a _____ that allows it to reconcile trade-offs.

Which of the following is an accurate statement about learning effects?

Allure is a cosmetic brand that pursues a cost-leader strategy.Which of the following statements is true of the cosmetic brand?

What is a value gap?

Product features,customer service,and complements are all examples of important

_____ is best described as decreases in cost per unit as output increases.

Handy Helper,Inc.produces decent-quality woodworking tools at a mid-range price.Master Tools,Inc.produces high-quality tools also at a mid-range price.Master Tools gained a competitive advantage because it has ______ than Handy Helper.

The pursuit of both differentiation and low cost at the same time in a way that creates a leap in value for both the firm and consumers is called

Even without differentiation parity,a firm pursuing a cost-leadership strategy can still gain a competitive advantage as long as its

When a firm operates at an output level of 9,000 units,the per-unit cost is $5.When the production is between 10,000-12,000 units,the per-unit cost is $4.At a production level of 13,000 units,the production cost is again $5 per unit.At 14,000 units and above,the production cost increases further.At what output level does the firm experience economies of scale?

Whole Foods differentiates itself from competitors by offering top-quality foods obtained through sustainable agriculture.This business strategy implies that Whole Foods focuses on

Evia Cycles Inc.incurs $400 to manufacture a bicycle,and the maximum price customers are willing to pay is $550 per unit.Archer Cycles Inc.,its competitor,incurs $450 to manufacture a similar bicycle,and customers are willing to pay a maximum price of $620 for it.What does this indicate?

What does blue ocean strategy attempt to reconcile?

How is a cost-leader protected from threats from powerful buyers?

Which of the following is primarily a cost driver?

A _____ primarily details the goal-directed actions managers take in their quest for competitive advantage when competing in a single product market.

A value curve indicates a lack of effectiveness in a firm's strategic profile when it

Lush Roses is a chain of premium hotels around the globe that charges higher prices for its rooms and suites when compared to the average industry standards.Yet,the hotel enjoys the largest market share in the industry.This is mainly due its highly responsive staff that has a strong commitment toward achieving a 100 percent guest satisfaction.In this scenario,which of the following is the key value driver?

Which of the following drivers simultaneously increases value while lowering cost?