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Jack is the owner of a math tutoring service company for his local town. Recently, many other math tutoring service companies entered the area and
Jack is the owner of a math tutoring service company for his local town. Recently, many other math tutoring service companies entered the area and Jack's company is struggling to differentiate itself from the newcomers. Jack is unable to shift to a cost-leadership strategy because he has hired highly educated and qualified tutors. Which strategy is most likely to achieve a competitive advantage for Jack's company?
a. | Maintain prices but replace all the highly educated tutors with lower qualified tutors to control costs. | |
b. | Lower service prices but continue employing highly educated tutors. | |
c. | Offer math tutoring services similar to competitors but raise prices to increase profits. | |
d. | Narrow the scope of competition and focus on high-school and pre-college math with higher quality tutoring than competitors. |
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