Pricing and Competition

A low-cost price leader enforces its leadership through strategic marketing and adds. There are so many businesses and companies that is doing this in our everyday life. From the food service industry, cell phone companies, retail stores, car dealerships and even banks advertising the best deals, money savings and overall service they can offer to consumers. Each type of service I mentioned competes with its competitors or rivals, that work in the same service. By adjusting prices of products or offering deals by giving more for less and why consumers should be going to them instead. With competitors, they always are lowering prices to gain consumers, their rivals will have to either price match, lowering cost than the other, or offer exclusive deals that can benefit their consumers, so they don't have to lose business with them. Companies can become low-cost price leaders by increasing their production and maintaining their quality of work to keep more offers out, having a lot of products, and enabling lower prices for consumers. The specific type of market structure used for the threat strategy is an oligopolistic market.Any comments or suggestions or ideas to add on this topic?