Question

Review the Inquirer to determine Digby's current strategy. How will they seek a competitive advantage? From the following list, select the top five sources of competitive advantage that Digby would be most likely to pursue. Select: 5
1. Seek high automation levels
2. Accept lower plant utilization and higher capacities to insure sufficient capacity is available to meet demand
3. Reduce cost of goods through TQM initiatives
4. Seek the lowest price in their target market while maintaining a competitive contribution margin
5. Seek excellent product designs, high awareness, and high accessibility
6. Seek high plant utilization, even if it risks occasional small stockouts
7. Increase demand through TQM initiatives
8. Reduce labor costs through training and recruitment
9. Add additional products
10. Offer attractive credit terms

Answer 1

Answer:

The most likely 05 answers are,

3, 4, 5, 8, 10

Explanation:

Although there are many methods and strategies to boost the competitive advantage over your rival companies, the above 5 selected could be seen as common methods that any company can utilize.

Now lets look at them.

Total Quality Management is a philosophy that can be used to look at the  organization holistically. Utilizing this philosophy, many developments could be made to the overall quality of organization's processes, procedures and products.

A market penetration strategy which aims to set the lowest price to increase the sales is another strategy that can be used.

Seeking to reduce costs through effective Human Resource practices and procedures is another strategy.

Rather than going for direct payments and direct cash payments, arranging attractive and affordable payment schemes and credit terms is another good way of gaining competitive advantage.