Question

Walmart initially used a focused cost leadership strategy to compete only in small communities by using sophisticated logistics systems and efficient purchasing practices to gain a competitive advantage. The response of local competitors was __________ because they __________. a. rapid; were nimble and flexible b. slow; lacked the ability to marshal resources c. rapid; perceived gains from responding to Walmart's attack d. rapid; had the resources and flexibility to compete against Walmart

Answer 1

Answer: slow; lacked the ability to line up resources

Explanation:

A focused cost leadership strategy is the strategy that requires the competition based on price in order to target a particular market.

Since Walmart used sophisticated logistics systems and efficient purchasing practices to gain a competitive advantage, the response of local competitors was slow due to the fact that they lacked the ability to line up resources. They were not as rich as Walmart and thus affected the local competitors.