Amy's Drive-Thru, a fast food facility near a college campus, offers healthy, sustainably grown vegetarian and vegan fast-food at higher prices than its competitors in the market and has a drive-through and indoor-seated, casual-dining operation. What strategy is Amy's Drive-Thru using to gain a competitive advantage?

Question

Business

Paxton Mcfarland

30 April, 06:59

Amy's Drive-Thru, a fast food facility near a college campus, offers healthy, sustainably grown vegetarian and vegan fast-food at higher prices than its competitors in the market and has a drive-through and indoor-seated, casual-dining operation. What strategy is Amy's Drive-Thru using to gain a competitive advantage?

+3

Answers (1)

Know the Answer?

Giuliana Rich · Answer 1

Answer: Focused differentiation strategy

Explanation: In focused differentiation strategy the focus of the entity providing the service is to make their product suitable and as per the expectations of the target market, which is very narrow in size and the requirements of the customers are very unique in such kind of target markets.

In the given case, as we know that vegetarian food is not very popular among the college students, since the preference towards health is usually seen in the age group of 25 to 35 working individuals.

Thus, the customer base of amy is very narrow.

Hence, we can conclude that Amy's is using focused differentiation strategy