The Value of a Firm's Portfolio of Resources and Capabilities

question 28

Multiple Choice

The value of a firm's portfolio of resources and capabilities is directly affected by ________.

• A) the reactions of competitors
• B) the dynamic nature of the competitive environment
• C) management's risk tendency
• D) its capability to reconfigure resources

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Definitions:

Persuasive Arguments Theory

A theory suggesting that the effectiveness of persuasion is influenced by the quality and quantity of arguments and the relevance to the audience.

Group Polarization

The propensity of a group to arrive at decisions that are significantly more radical than the original tendencies of its participants.

Cautious Approach

A strategy or method characterized by careful consideration and avoidance of risk or error.

Organizational Change

The process through which a company or organization undergoes a significant transformation, which can impact structures, processes, or culture.