The largest retail chain is Wal$-$Mart with $$446$ billion in revenues for the fiscal year ended January $31,2012.$ Wal$-$Mart$$s strategy of always low prices means that it must strive for competitive advantage in its overall cost structure. In particular it works with suppliers to assure that it can always buy at a lower cost than its major direct competitors. Major two competitive advantages expected by a low cost leader strategy include

Group of answer choices

The advantages of cost leadership are that a cost leader can afford to match prices of any given competitor and still have higher profitability. Cost leaders could also lower prices and reduce their profitability and make it difficult or impossible for competitors to sell and make a profit.

The advantages of cost leadership are that a cost leader cannot afford to match prices of any given competitor and still have higher profitability. Cost leaders could also raise prices and reduce their profitability and make it difficult or impossible for competitors to sell and make a profit.

The advantages of cost leadership are that a cost leader can afford to match prices of all competitors and still have higher profitability. Cost leaders could also offer freebees in order to drive its competitors out of market.

The advantages of cost leadership are that a cost leader can afford any prices of any competitor without profity. Cost leaders could also lower prices and reduce their profitability and collude with its competitors to fix prices.

none of these.