Differentiation strategy is a business approach that focuses on creating unique and distinct products or services in order to stand out from competitors in the market. This strategy involves identifying and highlighting the unique features and benefits of a product or service, and effectively communicating them to the target audience. By differentiating themselves from others, companies can attract and retain customers who are looking for something special and are willing to pay a premium price for it. This strategy requires a deep understanding of the target market, as well as continuous innovation and creativity to maintain a competitive edge. Ultimately, a successful differentiation strategy can lead to increased customer loyalty, brand recognition, and profitability for a company.