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Reading 41: Competitive Strategy: The Core Concepts - LOS

21The competitive strategy that best applies to Medley’s aerospace and defense division is:

A)   cost leadership.

B)   cost focus.

C)   differentiation.

D)   differentiation focus.

22The competitive strategy that best applies to Medley’s retail services business is:

A)   cost leadership.

B)   differentiation.

C)   differentiation focus.

D)   cost focus.

23The competitive strategy that best applies to Medley computer networking division is:

A)   differentiation.

B)   cost leadership.

C)   cost focus.

D)   differentiation focus.

答案和详解如下:

21The competitive strategy that best applies to Medley’s aerospace and defense division is:

A)   cost leadership.

B)   cost focus.

C)   differentiation.

D)   differentiation focus.

The correct answer was C)

Differentiation seems to be the predominant strategy here. The fact that this business operates in 32 countries worldwide coupled with their specialized range of products seems to make this strategy appear to be fairly obvious.

22The competitive strategy that best applies to Medley’s retail services business is:

A)   cost leadership.

B)   differentiation.

C)   differentiation focus.

D)   cost focus.

The correct answer was D)

Medley sells its products in a limited area. Medley therefore has a narrow scope. It is attempting to be the cost leader in the industry by positioning its stores in convenient locations in a limited number of states so that it is readily accessible to its core customers.

23The competitive strategy that best applies to Medley computer networking division is:

A)   differentiation.

B)   cost leadership.

C)   cost focus.

D)   differentiation focus.

The correct answer was A)

Medley’s computer networking division is well-established and operates on a broad basis. It attempts to differentiate itself from competitors by offering higher quality products and services at higher prices. Medley has been successful in creating the impression that they offer value.

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