Chapter 4 Business Strategy

Resource Heterogeneity

insight that bundles of resources, capabilities and competencies differ across firms

Isolating Mechanisms do what

Help a firms sustain a competitive advantages

Intellectual property protection and social complexity are examples of ________.

Isolating mechanisms

According to the ________ view, firms are a distinctive collection of resources, capabilities and competencies.

Resource based

____ are any assets that a firm can draw on when formulating implementing a strategy.

Resources

An early decision in the development of a firms such as where the firms is established can have a major influence on final outcomes. This referred to as _____

Path Dependence

A core competency can help a company achieve which of the following?

-Differ products -Offer product at a comparable or lower price then competitor - create higher value for customers

Which of the following statements are true about the capabilities of a firm?

-Include managerial - Concern with the deployment of resources - Include organizational skills

A resource is considered valuable in which of the following situations?

-The resource helps the firm increase its economic value creation -resource helps a firm exploit an external opportunity

VRIO is an acronym for.....

-Valuable -Rare -Imitate -Organization

______ are the distinct and fine-grained business processes that enable firms to add incremental value by transforming inputs into goods and services

Activities

______ are organizational and managerial skills necessary to orchestrate a diverse set of resources and deploy them strategically.

Capablilites

Resource Immobility

resources that don't move easily from firm to firm.