Highly differentiated product

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Company A has a highly differentiated product. There's great potential in the next year for Company A to increase its sales volume. Increased sales volumes can enable Company A to reduce its costs. High volumes with low costs can lead Company A to have very high profits, some of which it can use to invest in further differentiating its products.

Imagine that you are a strategic consultant for Company B, one of Company A's competitors. Knowing the above information about Company A, what strategic advice would you give Company B?

Reference no: EM132191535

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