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A Software Firm Decides to Offer Its Products at a Lower

Question 5

Multiple Choice

A software firm decides to offer its products at a lower price. In order to reduce costs, it outsources some of its in-house functions to countries that offer less expensive labor. As a result, it gains a cost advantage. The strategy adopted by this firm is an example of ___________.


A) disintermediation
B) low-end disruptive innovations
C) free business models
D) high-end disruptive innovations

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