What kind of strategy would involve minimizing costs while maximizing customer satisfaction?

The total-cost concept is an approach that focuses on minimizing costs throughout the entire production and distribution process while ensuring that the product or service provided still meets or exceeds customer expectations. This strategy emphasizes the importance of managing expenses in a way that allows a company to offer value to customers at an affordable price. By assessing all costs associated with the product lifecycle—from materials to distribution to customer service—organizations can identify efficiencies and pass savings on to customers, leading to higher satisfaction.

This strategy not only aims to keep expenses low but also recognizes that delivering a quality experience is essential for retaining customers. Balancing these two aspects ensures that while costs are managed, customer satisfaction remains a top priority, ultimately supporting business sustainability and growth.