A low-cost provider strategy can defeat a differentiation strategy when

A. sellers are not charging a price premium.
B. customers are basically satisfied and don't think extra attributes are worth a higher price.
C. many rivals are pursuing a similar differentiation approach.
D. a company can offset thinner profit margins per unit by selling enough additional units to increase total profits.
E. there are few ways to differentiate a product or a service and many buyers perceive these differences valuable.


Answer: B

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