A differentiation-based strategy requires that a firm?

A differentiation-based strategy requires that a firm offers unique products or services that stand out from competitors in a way that adds value for customers. This may involve superior quality, innovative features, exceptional service, or brand prestige. The goal is to create a perceived difference that justifies a premium price and fosters customer loyalty. By focusing on these unique attributes, the firm can target specific market segments willing to pay more for the added benefits.