Exam 3: The Internal Environment: Resources, Capabilities, Competencies, and Competitive Advantages

The capabilities used to create the sustainability/green initiatives at Walmart and Target are ____ but less likely to be ____.

____ is measured by a product's performance characteristics and its attributes for which customers are willing to pay.

One reason executive judgment can be a particularly important source of competitive advantage is that judgment

Capabilities may be costly to imitate if they have a unique and valuable organizational culture, and are causally ambiguous and socially complex.

Which of the following is a true statement about capabilities?

Value is measured by the variable and fixed costs associated with the production and marketing of a particular product compared with the revenue and profits the product generates.

An investor is considering buying a restaurant that has been in operation for a number of years. The restaurant has a highly-reputed chef, and many long-term kitchen and wait staff who work together smoothly. It has a reputation for dishes of consistently high quality and an appealing dining atmosphere.

Internal analysis enables a firm to determine what the firm

____ is/are the source of a firm's ____, which is/are the source of the firm's ____.

Walmart uses core competencies such as information technology and distribution channels to create value for its customers through its "everyday low price."

Costly-to-imitate capabilities are those which other firms cannot easily develop as they have no strategic equivalent.

Organizational culture is

Firms should outsource only activities where they can create the most value or where they are at an advantage compared to competitors.

Valuable capabilities allow the firm to exploit strengths or neutralize weaknesses in the internal environment.

As discussed in the Chapter 3 Strategic Focus, CEOs of companies such as Viacom, the Oprah Winfrey Network, the Gap, and Cisco frequently had to make decisions about __________________ and the success of those decisions affected the tenure of those CEOs.

Define capabilities and how they affect the firm's strategic success.

Value is created when firms innovately bundle and leverage their resources to form capabilities and core competencies.

Creating customer value is the source of the firm's potential to earn above-average returns.

Tangible resources include

The most numerous of the following organizational characteristics are