Question

SweetCream is an ice cream manufacturer. It sells Guilt-Free, a zero-calorie ice cream, which competes with FlavorBell's MooSweet, a low-calorie ice cream. FlavorBell reduces MooSweet's prices to match Guilt-Free's prices. Identify the strategic move that is most likely being implemented by FlavorBell in this scenario
A) Rejoinder
B) Attack
C) Recovery
D) Acquisition

Answer 1

Answer:

(B). Attack

Explanation:

Companies employ various strategies depending on the business scenario in which they find themselves.

One of such strategy is an attack strategy which could involve a company comparing its products to competing products or starting a price war.

In a price war, a company could choose to match its prices to, or reduce the price of its products lower than, its competitor's price.

FlavorBell is implementing an attack strategy by matching SweetCream's price.