Firms Possessing Certain Core Competencies Are More Likely to Create

question 28

Multiple Choice

Firms possessing certain core competencies are more likely to create competitive advantages based on these competencies. However, before a competitive advantage can be translated into specific customer benefits, the firm's __________ must recognize that its competencies give it an advantage over the competition.

• A) management
• B) target markets
• C) shareholders
• D) employees
• E) strategic partners

---

Definitions:

Contracts

Legally binding agreements between two or more parties that are enforceable by law.

Restraint of Trade

Practices or agreements that restrict competition or control prices within a business context, often considered illegal or subject to regulation.

Sherman Act

A foundational antitrust law enacted in 1890 to combat anti-competitive practices, reduce market monopolies, and foster competition in the U.S. economy.

Monopoly Power

The ability of a company or entity to control or dominate an industry or sector, to the extent where competition is virtually eliminated.