According to Michael Porter, a firm practicing a niche strategy:

a. Has relative market share and emphasizes efficient-scale facilities.

b. Dominates a particular target market although its overall market share may be low.

c. Chooses high-growth markets while holding onto substantial mature markets.

d. Attempts to pioneer in product/market development.

e. Insulates itself from competitive rivalry by creating brand loyalty and the resulting lower sensitivity to price.

Question

Business

Christine Whitehead

15 February, 09:12

According to Michael Porter, a firm practicing a niche strategy:

a. Has relative market share and emphasizes efficient-scale facilities.

b. Dominates a particular target market although its overall market share may be low.

c. Chooses high-growth markets while holding onto substantial mature markets.

d. Attempts to pioneer in product/market development.

e. Insulates itself from competitive rivalry by creating brand loyalty and the resulting lower sensitivity to price.

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Answers (1)

Know the Answer?

Janiyah Keith · Answer 1

b. Dominates a particular target market although its overall market share may be low.

Explanation:

A niche strategy of the porter was to come with the product that fills the market segment and is characterized by the narrow specialization of the services focusing on a specific need.