Asked by Bridget Parks on Jul 08, 2024
Verified
If a public relations executive asked you to recommend one of Porter's generic competitive strategies that would allow his company to create brand loyalty among clients, which of these would you suggest?
A) Economies of scale
B) Differentiation
C) Cost focus
D) Focused differentiation
E) Market segmentation
Brand Loyalty
The tendency of consumers to continuously purchase one brand's products over competing ones due to positive experiences and satisfaction.
Differentiation
Refers to the process of distinguishing a product, service, or brand from competitors in ways that appeal to the customer, creating a perceived value over alternatives.
Focused Differentiation
A business strategy where a company targets a specific market niche, offering unique products or services that stand out from competitors.
- Identify the significance of loyalty towards a brand and the quality of products as elements of competitive strategies.
Verified Answer
AS
Aimun ShakilJul 13, 2024
Final Answer :
B
Explanation :
Differentiation strategy focuses on creating a unique and superior product or service that sets a company apart from its competitors. By offering something unique, the company can create brand loyalty among clients who value the unique features and benefits the company provides. This strategy is especially relevant for companies that are operating in highly competitive markets where customers may lack brand loyalty.
Learning Objectives
- Identify the significance of loyalty towards a brand and the quality of products as elements of competitive strategies.