Question

There are four main categories of strategies that managers may define to create and sustain a competitive advantage. Which of these is an example of a business-level strategy? a. A finance director developing a plan to improve the return on invested capital (ROIC) by negotiating more favorable payment terms with customers and vendors b. A CEO of a multidivisional company selecting a new customer market segment to pursue and establishing a new business unit to serve the segment c. A general manager defining a superior customer service strategy for his division to better deliver its products

Answer 1

Answer: Option C

Step-by-step explanation: Business level strategy refers to the plan of action made by the management to sustain or enhance the position of the organisation in the market. It focuses on maintaining the customers satisfied.

Thus, a general manager explaining their strategy to a superior customer is an example of business strategy. This action of manager will make the customer more informed about the operations and will increase his confidence in the organisation.

Hence the correct option is C.