Question: 3 2 While Smart Guard Inc. incurs $ 5 0 0 to manufacture a home security system, its competitor, EverSafe Systems, incurs $ 4 5

32

While Smart Guard Inc. incurs $

500

to manufacture a home security system, its competitor, EverSafe Systems, incurs $

450 .

However, the security systems produced by both the companies have been able to create the same value among customers. From the given scenario, it can be inferred that

01

22

06

Multiple Choice

Smart Guard is a cost leader when compared to EverSafe Systems.

EverSafe can charge a higher price than Smart Guard for its systems.

Smart Guard has a competitive advantage over EverSafe Systems.

EverSafe Systems and Smart Guard share a differentiation parity.

3 2 While Smart Guard Inc. incurs $ 5 0 0 to

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