The Resource-Based Model of the Firm Argues That

question 56

Multiple Choice

The resource-based model of the firm argues that:

• A) All resources have the potential to be the basis of sustainable competitive advantage
• B) Resources alone can be a source of sustainable competitive advantage
• C) The key to competitive success is the structure of the industry in which the firm competes
• D) Resources that are valuable, rare, costly to imitate, and non-substitutable form the basis of a firm's core competencies

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Definitions:

Psychographic

A classification criterion based on people's lifestyles, activities, interests, opinions, and values to understand consumer behavior better.

Behavioral

Relating to the actions and reactions of individuals or groups in response to stimuli.

Acquisition Costs

The total cost associated with acquiring a new asset, customer, or property, including all legal, advisory, and administrative expenses.

Customer Retention

The activities and actions companies take to reduce the number of customers leaving or switching to a competitor.