Cell phone manufacturer LZT has to choose between two options for sourcing parts: Japan-based Keiko Inc. and US-based Global Tech. How can Keiko reduce the total customer cost for LZT?
What will be an ideal response?
Keiko can reduce the price or cost of ownership and maintenance, simplify the ordering and delivery process, or absorb some buyer risk by offering a warranty.
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Which of the following are risks of a focused low-cost or focused differentiation strategy?
a. Buyers incur high costs in switching from one brand to another within the niche market. b. Competitors find effective ways to match the focused firm's capabilities in serving the target niches. c. The segment becomes so attractive that competitors move in, intensifying rivalry and negatively impacting profits. d. The preferences and needs of niche members shift toward the product attributes desired by the majority of buyers.
Compare and contrast the four types of products in the societal classification of products. Provide examples of each
What will be an ideal response?