It Would Be Simply Too Costly for an Airline to Pursue

question 54

Multiple Choice

It would be simply too costly for an airline to pursue a backward integration strategy and enter the airplane manufacturing business. Which of the following theories for explaining a firm's competitiveness is most likely to give executives such insights?

• A) Resource-based theory
• B) Enactment
• C) Transaction cost economics
• D) Environmental determinism
• E) Institutional theory

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Definitions:

Life Crises

Significant life events or transitions that require a substantial adjustment or change, potentially leading to emotional or psychological stress.

Positive Psychological Changes

Transformations in mental health and emotional well-being that enhance an individual's quality of life and resilience.

Posttraumatic Stress Disorder

A mental health condition triggered by exposure or witnessing of a traumatic occurrence, marked by intense fear, recurring memories, and persistent, unwanted thoughts related to the event.

Armed Robbery

A criminal act involving the use of a weapon to coerce a victim into surrendering valuables, often associated with severe legal penalties.