Question

Describe the advantages of integrating cost leadership and differentiation strategies.

Answer 1

Describe the advantages of integrating cost leadership and differentiation strategies.

In an increasingly competitive world where firms must compete on a global basis, the integration of cost leadership and differentiation strategies is becoming more common. Such an integration of strategies allows firms to adapt quickly to environmental changes, learn new skills and technologies, and effectively leverage their core competencies across business units and business lines. Evidence is showing that successful use of integrated strategies yields above-average returns.