Question: A major food delivery platform is experiencing declining user retention in highly urbanized areas. Data shows that price - sensitive customers frequently switch between competitors,

A major food delivery platform is experiencing declining user retention in highly urbanized areas. Data shows that price-sensitive customers frequently switch between competitors, while high-income customers are more concerned about food quality and premium service reliability.
The company is considering three strategic options:
Option A: Expanding variety by adding more diverse restaurant options, including niche gourmet providers.
Option B: Refining need-based differentiation by introducing a premium membership with exclusive delivery perks and loyalty benefits for high-frequency users.
Option C: Enhancing access-based strategy by improving delivery speed and expanding operations to underserved suburban areas.
Which of the following statements is incorrect about the strategic options available to the food delivery platform?
Group of answer choices
A need-based strategy can enhance customer retention by targeting premium users who value reliability over price.
An access-based strategy would be ineffective because suburban customers have lower demand for food delivery services.
A combination of need-based and access-based strategies could create a differentiated positioning that increases retention among both high-frequency and suburban users.
A variety-based strategy alone may not drive long-term loyalty if price-sensitive customers frequently switch between competitors.

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