A low-cost provider strategy can defeat a differentiation strategy when A. sellers are not charging a price premium. B. many rivals are pursuing a similar differentiation approach. C. a company can offset thinner profit margins per unit by selling enough additional units to increase total profits. D. there are few ways to differentiate a product or a service and many buyers perceive these differences valuable. E. customers are basically satisfied and don't think extra attributes are worth a higher price features.

Suppose farmer lane grows and sells cotton in a perfectly competitive industry. the market price of cotton is $1.64 per kilogram, and his marginal cost of production is $1.44 per kilogram, which increases with output. assume farmer lane is currently earning a profit. can farmer lane do anything to increase his profit in the short run? farmer lane: a. cannot do anything to increase his profit. b. may or may not be able to increase his profit. c. can increase his profit by raising his price. d. can increase his profit by producing more output. e. can increase his profit by shutting down.