Question

Petra's Programming competes on cost with WonderWeb in the web design industry. Both firms operate on a 90 percent learning curve, and neither firm is capable of increasing its cumulative output any further. How might Petra's Programming achieve a cost leadership position while maintaining customer satisfaction?
A) by increasing the amount of time the company spends on each website by 25 percent without raising prices
B) by eliminating costly service features like 24/7 customer support
C) by reducing its client base and lowering output
D) by incorporating new programming techniques to take advantage of experience curve effects

Answer 1

Answer: d. by incorporating new programming techniques to take advantage of experience curve effects

Explanation:

There is a tight competition between Petra's programming and wonderweb, both parties can't go beyond their limit now. Petra seeks to wim this competition against wonderweb the best way to do this is for Petra to incorporate new programming skills which would ride on the existing structure she has. This new programming skills would be a boast to her firm as she and her employees would be lead and taught to carry out the business in a different measure from that which they have been doing due to this new programming language