To stay one step ahead of the forces of competition, a firm can adopt one of three basic strategies: cost reduction, product differentiation, or reduction in the intensity of competition. Which of the following is critical for a firm adopting a long-term cost-reduction strategy?

a)The firm must also differentiate its product or service.

b)The strategy is focused on reducing internal production costs only.

c)The strategy reduces costs by at least 10%

d)The methods of achieving cost reductions are difficult to imita