Final answer:Cost competitivenessrefers to a strategic pricing method where firms set their prices low enough to attract consumers while ensuring it covers costs and secures profits. It doesn't mean pricing lower, higher, or equal to competitors' prices but achieving the balance between profitability and market competition.Explanation:Cost competitiveness refers to the strategic pricing that allows a firm tomaximize profitswhile staying competitive in the market. It doesn't necessarily mean pricing a company's products lower, equal, or higher than all competitors. The strategic option of choice, which in several cases corresponds more to option D, is pricing products low enough that the firm can still generate profit.In a perfectly competitive market, firms produce agreater quantity of output, and their total revenue increases steadily at a constant rate determined by the market price. Profits will be highest at the quantity of output where total revenues exceed total costs by the greatest amount. Thus, setting prices is essential, and the goal is to balance between keeping prices comparatively low to attract consumers and high enough to cover production costs and procure profits.When setting prices, the firm faces a perfectly elastic demand curve implying that the firm can sell an unlimited number of units at the samemarket price. If imports can be sold at extremely low prices, domestic firms would have to match those prices to be competitive. However, such practices could imply selling under cost and, therefore, losing money. Therefore, cost competitiveness is about strategically setting prices to retain the balance between profitability and market competitiveness.Learn more about Cost Competitiveness here:brainly.com/question/5647002#SPJ11...

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