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Dollar Tree: Porter's Low Cost Strategy

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Porter’s low-cost strategy is created for price-sensitive customers. Dollar Tree has distinguished itself by offering the lowest prices for merchandise that customers consider to have quality (Parnell, 2014).Dollar Tree merchandise is priced at a single price point of $1. The firm offers housewares, seasonal goods, toys, and food. The firm’s low price strategy is appealing to different markets especially during challenging economic times. Dollar Tree has managed to maintain competitive pricing by maintaining relationships with vendors and purchasing large quantiles of products Dollar Tree is expanding with the recent acquired Family Dollar and a focus on serving customers (Dollar Tree, 2016). “We are eager to complete our acquisition and welcome

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