Porter's Generic Strategies: Cost Leadership

The cost leadership strategy is one of the 3 generic strategies recommended by Michael Porter. The cost leadership strategy is straightforward: your goal is to achieve the lowest per-unit cost of making or selling products (or providing services) in your industry. A company known for the cost leadership strategy is the grocery store chain Aldi, which keeps operating expenses to a minimum and is thus able to maintain lower prices than those of its competitors.—
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