What Causes Core Capabilities to Become Core Rigidities

question 39

Multiple Choice

What causes core capabilities to become core rigidities?

• A)Changes in the external and internal environment
• B)Inertia and competition
• C)Strategic myopia and inertia
• D)Lack of knowledge and poor use of assets

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Definitions:

Production Possibilities Curve

The production possibilities curve illustrates the maximum possible output combinations of two goods that an economy can achieve when all resources are fully and efficiently utilized.

Output

The cumulative volume of goods or services yielded by a business, industry, or economic structure.

Production Possibilities Diagram

A graphical representation showing the maximum number of output combinations that an economy can achieve using its resources efficiently.

Inefficiently

Operating in a manner that does not maximize productivity or wastes resources, leading to lower outputs for given inputs.