Chapter 11 Econ

Which of the following products and services depend on standards?

All of the above: cellular communications, internet, video gaming, & high-definition television

What term best describes clusters of activities that a firm does especially well in comparison with other firms?

Capabilities

What term best describes assets that are more valuable when used together than when separated?

Cospecialized

Size, growth, and character of home demand for a firm's product are examples of what?

Demand conditions

Which of the following is least likely a characteristic of profit persistence in an industry?

Economic profits should quickly converge to zero

Which of the following terms best describes the situation when sources of competitive advantage in an industry are being created and eroded at an increasingly rapid rate?

Hypercompetition

What term best describes a resource that cannot "sell itself" to the highest bidder?

Imperfectly mobile

Which of the following is not a Legal Restriction?

Intellectual property

Which of the following terms best describes a place in which a firm can sell its ideas for full value?

Market for ideas

What term describes a framework used in strategy based on resource heterogeneity which posits that for a competitive advantage to be sustainable, it must be underpinned by resource capabilities that are scarce and imperfectly mobile?

Resource-based theory of the firm

What term best describes firm-specific assets such as patents and trademarks, brand-name reputation, installed base, and organizational culture?

Resources

Which of the following is not an impediment to imitation?

Scale diseconomies

What term best refers to fundamental changes that lead to major shifts of competitive positions in a market?

Shock

Which of the following is not an isolating mechanism that falls under the heading of early-mover advantage?

Superior access to inputs or customers

Which of the following terms best describes a phenomenon whereby, despite equal innovative capabilities, an entrant is willing to spend more to develop an innovation?

The replacement effect