Final answer:
A firm pursuing a product differentiation strategy aims to offer unique products or services to customers.
Step-by-step explanation:
A firm pursuing a product differentiation strategy is attempting to make its products different from those of its competitors. This can be done through physical aspects of the product (e.g., unique design or features), location from which the product is sold (e.g., exclusive distribution channels), intangible aspects of the product (e.g., brand reputation or customer service), and perceptions of the product (e.g., unique marketing messages).
So, the statement 'A firm pursuing a product differentiation strategy is attempting to promote the same service or products as competitors, but produce it at a lower cost' is False. A firm pursuing a product differentiation strategy aims to offer a unique value proposition to customers, even if it may come at a higher cost compared to competitors.