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Discuss the "Four Building Blocks" of Competitive Advantage and Give

question 20

Essay

Discuss the "four building blocks" of competitive advantage and give an example of a company that you feel uses each of these building blocks successfully in its production of goods and services.


Definitions:

Salvage Value

The projected remaining value of an asset following its operational lifespan, once depreciation or amortization has been taken into account.

Recoverable Ore

The portion of ore that can be economically and technically extracted or produced at a profit.

Depletion

The allocation of the cost of natural resources over their useful life, used in accounting to match the expense of extracting natural resources with the revenue generated from them.

Machinery Installation

The process of setting up and configuring industrial machinery in a specific location for operational use.

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