GBU CH 4
resource immobility
resources tend to be "sticky" and don't move easily from firm to firm resources differences can last a long time and it is difficult to reproduce the set of resources that a firm lacks in comparison to another firm
purpose of SWOT analysis
form a strategy that is tailored to the firms unique strengths and weaknesses and the opportunities and threats in its environment
a firm should _________ to be organized to capture value
have a good organization structure have a good coordinating system
a valuable resource
helps the firm deal with external threats
primary activities
(direct) supply chain management, operations, distribution, marketing and sales, after-sales service
support activities
(indirect) research and development, informational systems, human resources, accounting and finance, and firm infrastructure
resource heterogeneity
A firm is bundle of resources and capabilities that differ across firms
dynamic capabilities perspective
a model that emphasizes a firm's ability to modify and leverage its resource base in a way that enables it to gain and sustain competitive advantage in a constantly changing environment
path dependence
a process in which the options one faces in a current situation are limited by decisions made in the past
resources
are any assets that a firm can draw on when formulating and implementing a strategy
Time compression diseconomies
attempting to get a good outcome in less time tends to be ineffective
isolating mechanisms are considered to be
barriers of imitation
Resource-based view
believe firms are a distinctive collection of resources, capabilities, and competencies
help a firms competitive advantage
better expectations of future resource value path dependence casual ambiguity social complexity intellectual property (IP) protection
cowgirl boots, inexpensive leather boots for women, are selling at record-high numbers. The CEO of the company, however, cannot figure out why. Was it caused by the company's recent advertising campaign in the newly reduced price of the boots or some other unknown factor? based on this info, what concept describes the CEOs confusion regarding cowgirl boots recent success
casual ambiguity
dynamic environment are most relevant in
changing markets
value chain
describes the internal activities a firm engages in when transforming inputs into outputs
Javier, the owner of Javiers tacos, has noticed that residents of his town are flocking to a new taco truck in increasing numbers. after doing some research, Javier learns that customers enjoy a new taco truck because almost all tacos ingredients are locally sourced. Javier decided to add locally sources ingredients to his menu. this is an example of
direct imitation
activities
distinct and fine-grained business processes that enable firms to add incremental value by transforming inputs into goods and services
for a firm to sustain any competitive advantage over time, the fit between its internal strengths and external environment needs to be
dynamic
VRIO Framework
ids the resources that can lead to a competitive advantage firm must be organized to capture value
core competencies can help a company achieve
offer products of comparable value at a lower cost then rivals differentiate its products and services to create higher value for the customer
The culture of zappos is hard to imitate because it consists of numerous, diverse interactions among its employees, processes, procedures, and norms, which creates
social complexity
resource based view classifies all resources as
tangible and intangible
core competencies is generated by
the interaction between resources and capabilities
capabilities in a firm
they concern the deployment of resources they include managerial skills they include organizational skills
how are intangible resources stock acquired
through investments over time in intangible resources
