When Are Capabilities-Motivated Acquisitions Essential

question 32

Multiple Choice

When are capabilities-motivated acquisitions essential?

• A)when industry conditions, like technology advances, are central to growth and rivalry is intense
• B)when first-mover advantages for products or services can be added to the portfolio lineup
• C)when the acquired firm can be purchased at a discount due to underperformance
• D)when a market opportunity can slip by faster than a needed capability can be created internally
• E)when the capabilities involve tacit knowledge and complex routines

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Definitions:

Normally Distributed

A type of continuous probability distribution characterized by a symmetrical, bell-shaped curve, where the mean, median, and mode are all equal.

Standard Deviation

A measure of the dispersion or variability in a set of values, indicating how much individual values deviate from the mean.

Fish Market

A marketplace where fish and seafood are traded, often involving auctioning and retail sales, catering to consumers and businesses.

Normally Distributed

Outlines a probability distribution characterized by symmetry around the mean, illustrating that data points in close proximity to the mean occur more often than data points far away from the mean.