Lower costs lead to higher profits for Beam toothpaste. A low cost leader can undercut rivals on price… … "Cost Advantages (Beam toothpaste)" has a significant impact, so an analyst should put more weight into it. "Cost Advantages (Beam toothpaste)" will have a long-term positive impact on the this entity, which adds to its value. This statement will lead to an increase in profits for this entity. "Cost Advantages (Beam toothpaste)" is an easily defendable qualitative factor, so competing institutions will have a difficult time overcoming it.