In this scenario, the two have gained a competitive advantage by pursuing distinct strategic positions. Cost-leadership and differentiation are distinct strategic positions. The key to successful strategy is to combine a set of activities to stake out a unique position within an industry. AACSB: Knowledge Application Accessibility: Keyboard Navigation Blooms: Apply Difficulty: 2 Medium Learning Objective: 01-02 Define competitive advantage, sustainable competitive advantage, competitive disadvantage, and competitive parity. Topic: What Strategy is: Gaining and Sustaining Competitive Advantage 23. Which of the following is an implication of all firms in an industry pursuing a low-cost position through application of competitive benchmarking? If all in the same industry pursued a low-cost position through application of competitive benchmarking, all firms would have identical cost structures. None could gain a competitive advantage. There would be little if any value creation for customers because companies would have no resources to invest in product and process improvements. AACSB: Knowledge Application Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 01-02 Define competitive advantage, sustainable competitive advantage, competitive disadvantage, and competitive parity. Topic: What Strategy is: Gaining and Sustaining Competitive Advantage
In this scenario, the two have gained a competitive advantage by pursuing distinct strategic positions. Cost-leadership and differentiation are distinct strategic positions. The key to successful strategy is to combine a set of activities to stake out a unique position within an industry. AACSB: Knowledge Application Accessibility: Keyboard Navigation Blooms: Apply Difficulty: 2 Medium Learning Objective: 01-02 Define competitive advantage, sustainable competitive advantage, competitive disadvantage, and competitive parity. Topic: What Strategy is: Gaining and Sustaining Competitive Advantage 23. Which of the following is an implication of all firms in an industry pursuing a low-cost position through application of competitive benchmarking? If all in the same industry pursued a low-cost position through application of competitive benchmarking, all firms would have identical cost structures. None could gain a competitive advantage. There would be little if any value creation for customers because companies would have no resources to invest in product and process improvements. AACSB: Knowledge Application Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 01-02 Define competitive advantage, sustainable competitive advantage, competitive disadvantage, and competitive parity. Topic: What Strategy is: Gaining and Sustaining Competitive Advantage