Cost leadership is a potential source of competitive advantage based on achieving the lowest cost of operation within an industry. Cost leadership can be driven by various factors such as the efficiency of a business, the business size, scope and scale, and the cumulative experience of its workforce. If there is a price war, the company with the lowest overall costs – the cost leader – will be able to make profits for the longest. See also Cost Base.
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Discover the world’s largest Glossary of Procurement terms
With over 800 Procurement specific terms (and growing) you will find everything you need to know or thought you knew about the Procurement function. Our aim is to provide you with a comprehensive list collated from the Comprara Groups hub of training and consulting source materials.The Procurement Glossary has been compiled by industry expert Paul Rogers.
