Explore BrainMass

Explore BrainMass

    Cost Leadership vs. Differentiation Strategy

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Can a business unit, or firm, follow both a cost leadership strategy and a differentiation strategy simultaneously? Why or why not? Provide examples.

    © BrainMass Inc. brainmass.com December 15, 2020, 10:06 pm ad1c9bdddf

    Solution Preview

    Cost leadership firms are low cost producers at a given level of quality. Companies that practice cost leadership strategy sell products at or below average industrial price to earn market share and make profit in the process. Cost leadership requires that the firm have access to low cost raw ...

    Solution Summary

    The solution defines cost leadership and differentiation strategies.