Question 27 Which of the following is NOT one of the differences between a Low-Cost strategy and a Differentiation strategy?

a.Firms using a Low-Cost strategy often invest in process improvements while firms using a Differentiation strategy often invest product improvements.

b.The Differentiation strategy calls for firms to build a product line that emphasizes product features, services, and variety.

c.The Low-Cost strategy calls for firms to cut out features and services that buyers don't value highly.

d.The Differentiation Strategy differentiates a firm from its rivals and a Low-Cost strategy does not.

e.Firms using a Low-Cost strategy generally rely on higher-volume output to attain profitability than do firms using a Differentiation strategy.

Question 28 Horizontal integration through merger can allow a firm to:

a.achieve economies of scale.

b.access an untapped market.

c.acquire new technology.

d.all of the above.

e.none of the above