A Company's Dynamic Capability Is Not Manifested by Its

question 126

Multiple Choice

A company's dynamic capability is not manifested by its

• A)capacity to improve existing resources and capabilities
• B)ability to upgrade its R&D resources to drive product innovation
• C)capacity to add new resources and capabilities to the competitive asset portfolio
• D)ability to replace degraded resources with acquired capabilities
• E)ability to keep antiquated resources by disregarding innovative capabilities

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Definitions:

Complements

Two goods for which an increase in the price of one leads to a decrease in the demand for the other.

Budget Constraints

A representation of the trade-offs between different goods and services that a consumer can afford with their limited income.

Optimum

The most favorable condition or level for growth, reproduction, or efficiency, or the best or most efficient use of resources.

Substitution Effect

The financial concept where consumers opt for cheaper alternatives when prices increase or their income falls.