Asked by montreal gadson on Sep 24, 2024
Verified
For a resource to be able to generate temporary competitive advantage over rivals,it must be
A) Valuable
B) Rare
C) Valuable and rare
D) Not valuable but rare
Temporary Competitive Advantage
A situation where a firm gains an edge over its competitors for a short period due to unique resources or positioning.
- Recognize the significance of unparalleled, invaluable, and arduous-to-duplicate resources in keeping a competitive lead.
Verified Answer
EB
Emmanuel Bernier5 days ago
Final Answer :
C
Explanation :
According to the VRIO framework, a resource must be both valuable and rare to be a source of temporary competitive advantage. If a resource is valuable but not rare, it can still be imitated by competitors, and if it is rare but not valuable, it may not contribute to competitive advantage. The combination of rarity and value creates a unique and valuable advantage for the company, which competitors cannot easily imitate.
Learning Objectives
- Recognize the significance of unparalleled, invaluable, and arduous-to-duplicate resources in keeping a competitive lead.
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