1
Q
Factors of Competitive Advantage’s Sustainability
A
- Rate of core competence obsolescence
- Availability of substitutes for core competence
- Imitability of the core competence
2
Q
4 Characteristics of Capabilities
A
- Value
- Rare
- Non-substitutable
- Costly to imitate
3
Q
2 Models
A
- Industrial Organization (I/O)
- Resource-Based Model
4
Q
Industrial Organization (I/O) Model
A
The external environment determines a firm’s success
5
Q
Resource-Based Model
A
A firm’s unique internal resources and capabilities are the key
6
Q
Tangible Resources
A
Financial, Physical, Technological
7
Q
Intangible Resources
A
Human, Innovation, Reputational
8
Q
Value Creation Process
A
- Resources - start with what you have
- Capabilities - bundle resources into skills
- Core competencies - capabilities that create advantage
