A manager should understand that resources have to be used in a very cost efficient manner because the perception of cost has a very important role to play in skills trying to understand the demand patterns of the customer. The manager should train employees regarding product performance, conformance, feature, and quality and value chain. When the differentiation strategy is pursued customers will expect best quality on premium prices. Managers should ensure that high levels of quality and standards are maintained. Performance improvements should continuously take place because competitors will try to copy the core competencies. He should be skilled in understanding when and how the differentiation strategy should be implanted. Opportunities for innovation make the differentiation strategies work better.