Question

What are value drivers? a set of factors (analogous to cost drivers) that are particularly effective in having a strong differentiation effect a set of factors that verify the unique nature of a firm a set of guidelines for identifying the most promising upscale attributes to incorporate into a product a firm's hidden success factor for creating over-the-top product features that will command the highest price in the industry a technique for easily identifying factors that validate a firm's performance

Answer 1

Answer:

A set of factors (analogous to cost drivers) that are particularly effective in having a strong differentiation effect

Explanation:

Value drivers refers to the value addition to a product or a service by a firm, which drive customers towards purchasing such products. Such additions also help distinguish a firm's own products from those of the competitors.

Value drivers could be in the form of using superior latest technology or creation of better brand awareness, etc. Such drivers also help the firm attain a competitive advantage over it's rivals.

Competitive advantage refers to possession of some unique resource or skill, which is hard to be replicated by the rival firms and which helps such a firm gain a competitive edge in the industry. For example, highly skilled workforce.

A firm strives to add more and more of such value drivers so as to gain competitive advantage in as many business spheres as possible and realize it's business goals effectively.