Within the cost leadership strategy, a business will have a(n) ________ cost structure.

A business that adheres to a cost leadership strategy aims to become the lowest-cost producer in its industry. This strategy typically requires a focus on efficiency and cost control, which leads to a lower overall cost structure compared to competitors. By minimizing costs, the business can offer products or services at a more competitive price, attracting a larger customer base and potentially increasing market share. This leaner operation often involves optimizing processes, leveraging economies of scale, and maintaining tight control over expenses.

The focus on having a lower cost structure is essential for sustaining a competitive advantage, as it allows the company to respond to price changes in the market or competitive actions more effectively. Additionally, businesses operating under this strategy also seek to reduce fixed costs and variable costs wherever possible, ensuring long-term viability and resilience against market fluctuations.