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How Valuable a Low-Cost Leader's Cost Advantage Is Depends on

Question 52

Multiple Choice

How valuable a low-cost leader's cost advantage is depends on


A) whether it is easy or inexpensive for rivals to copy the low-cost leader's methods or otherwise match its low costs.
B) how easy it is for the low-cost leader to gain the biggest market share.
C) the aggressiveness with which the low-cost leader pursues converting the cost advantage into the absolute lowest possible costs.
D) the leader's ability to combine the cost advantage with a reputation for good quality.
E) the low-cost leader's ability to be the industry leader in manufacturing innovation so as to keep lowering its manufacturing costs.

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