True or False: Firms can gain a marketing advantage by dominating in various strategic areas.

Firms can indeed gain a marketing advantage by dominating in various strategic areas, which is why the statement is true. A broad strategic focus allows firms to stand out in competitive markets by excelling in multiple aspects such as product quality, pricing, customer service, and brand positioning. By leveraging these strengths, companies can enhance their overall value proposition, attract diverse customer segments, and ultimately drive sales and profitability.

When a firm leads in various strategic areas, it becomes more resilient to market changes and competitive pressure, allowing for increased market share and customer loyalty. For instance, a company that combines excellent product quality with competitive pricing and superior customer service creates a compelling reason for consumers to choose its offerings over competitors.

The other options suggest limitations to where a firm could gain advantages, either by focusing solely on pricing or product quality. However, a holistic approach that integrates multiple strategic strengths is far more effective in today’s complex and competitive marketplace.