The First Step to Gain and Sustain a Competitive Advantage

question 50

Multiple Choice

The first step to gain and sustain a competitive advantage is to

• A) define a firm's vision, mission, and values.
• B) understand the strategies of the competitors.
• C) put the guiding policies of a firm into practice.
• D) develop functional and business-level strategies.

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Definitions:

Goods and Services

The output produced by economic systems, where goods are physical items and services are intangible activities provided to consumers.

Human Capital

The capabilities, understanding, and expertise that an individual or group holds, considered in relation to their worth or expense to a company or nation.

Physical Capital

Assets used in the production process that are tangible in nature, such as machinery, buildings, and vehicles.

Proprietary Knowledge

Information that is not public and is owned by an individual or company, giving them a competitive advantage.