Company A has a highly differentiated product. There's great potential in the next year for Company A
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Question:
Company A has a highly differentiated product. There's great potential in the next year for Company A to increase its sales volume. Increased sales volumes can enable Company A to reduce its costs. High volumes with low costs can lead Company A to have very high profits, some of which it can use to invest in further differentiating its products.
Imagine that you are a strategic consultant for Company B, one of Company A's competitors. Knowing the above information about Company A, what strategic advice would you give Company B?
Related Book For
Fundamentals of corporate finance
ISBN: 978-0470876442
2nd Edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
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