For Capabilities to Be a Source of Competitive Advantage, They

question 11

True/False

For capabilities to be a source of competitive advantage, they must allow a firm to perform value-creating activities in a manner that provides value similar to that provided by competitors.

---

Definitions:

Financial Statements

Documents that provide an overview of a company's financial condition, including balance sheets, income statements, and cash flow statements.

GAAP

Generally Accepted Accounting Principles; a set of accounting standards and practices used for financial reporting in the U.S.

True Locality Rule

A legal principle ensuring that a case is tried in the jurisdiction where the events in question occurred.

Standard Of Care

The degree of care and caution required by law, which a reasonable person should take in a specific situation.