Coca-Cola spends an enormous amount of money on advertising to distinguish, and create a unique image for, their products. Which of the following strategies is Coca-Cola pursuing?
With a differentiation strategy, managers try to gain a competitive advantage by focusing all the energies of the organization's departments or functions on distinguishing the organization's products from those of competitors on one or more important dimensions, such as product design, quality, or after-sales service and support. Coca-Cola pursues a strategy of differentiation. It spends enormous amounts of money on advertising to differentiate, and create a unique image for its products.