Low-Cost Strategy

Low-Cost Strategy is a generic business unit strategy in which a larger business produces, at the lowest cost possible, no-frills products and services industry-wide for a large market with a relatively elastic demand.

Definition

According to the Strategic Management by Parnell (4th edition),

Low-Cost Strategy. A generic business unit strategy in which a larger business produces, at the lowest cost possible, no-frills products and services industry-wide for a large market with a relatively elastic demand.