What are the four major types of competitive strategy?

The four major types of competitive strategy identified in option B—low-cost leadership, product differentiation, focus on market niche, and customer and supplier intimacy—represent fundamental approaches that businesses can adopt to gain a competitive advantage in their respective markets.

Low-cost leadership is a strategy where a company aims to become the lowest-cost producer in its industry. This enables the business to compete on price and attract price-sensitive customers. Success in this area often hinges on economies of scale, efficient operations, and stringent cost control.

Product differentiation involves offering products or services that are perceived as unique or superior to those of competitors. This could be due to features, quality, branding, or customer service. By distinguishing their offerings, companies can create customer loyalty and reduce competition based on price alone.

Focus on market niche entails concentrating on a specific segment of the market, tailoring products or services to meet the unique needs and preferences of that niche. This strategy allows businesses to operate in a less competitive environment where they can be more agile and responsive to customer needs.

Customer and supplier intimacy, while not traditionally listed as a standalone competitive strategy, emphasizes the importance of building close relationships with customers and suppliers. This can lead to enhanced loyalty and collaboration, allowing a business to better anticipate market trends and customer