Discount Shoes and Elegant Footwear are both retail shoe companies. Both have outlets in major cities throughout the United States. Discount Shoes uses a cost leadership strategy, and Elegant Footwear uses a product differentiation strategy

Required Answer each of the following questions.

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A. What differences would you expect to observe between the two companies with respect to the location and design of their stores, the types of products they sell, and the types of service they provide?

B. Compare the companies’ expected sales revenues, cost of goods sold, operating expenses, merchandise inventory, and plant assets based on the strategies they use to generate profits.


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