ECONOMICS
MARKET FAILURES
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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it seeks a government contract to have the sole right to provide a good or service in an area.
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It makes agreements with other firms about production levels.
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It seeks to distinguish its good or services from those of other firms.
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It sets a price for its product and expects smaller firms to price their products accordingly.
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Detailed explanation-1: -Product differentiation is a process used by businesses to distinguish a product or service from other similar ones available in the market. This tactic aims to help businesses develop a competitive advantage and define compelling, unique selling propositions (USPs) that set their product apart from competitors.
Detailed explanation-2: -The goal of product differentiation is to create a competitive advantage or to make your product superior to alternatives on the market. In other words, you don’t just want to stand out from the competition, you want to stand above it.
Detailed explanation-3: -Marketing differentiation is crafting unique products and services to attract and retain customers. Companies that use marketing differentiation can differentiate between their offerings and competitors in several ways, including price, quality, service, innovation, and accessibility.
Detailed explanation-4: -What is services differentiation? Services differentiation is the specific way in which a company provides certain services to its customers.