Which of the following examples illustrates a niche strategy?

a. Libra, a motor company, uses new production techniques to achieve economies of scale.
b. Alpha Electronics has decided to dissolve one of its strategic business units.
c. Venus Inc. has decided to target customers in Asia.
d. Relish, a confectionery store, sells its products only in one city.

ANSWER: d

Relish is most likely to be using a niche strategy. Many companies that use a niche strategy serve only a limited geographic market.