In which of the following cases is a firm most likely to have intangible critical assets?
A) JEG Inc. manufactures automobile parts for a number of car manufacturers and the major portion of its investment is in machinery and equipment.
B) N&S Corp. is a transport and shipping company with a presence throughout the U.S. and its fleet of trucks contributes significantly to its output.
C) Orangetree Inc. has a number of hotels across the country. The company's success depends on increasing customer satisfaction by perfecting employees' customer service techniques.
D) BLT is a fast food chain on the East Coast. The company recently automated most of its processes in order to increase customer convenience.

Question

Quizplus · Accepted Answer

Orangetree Inc., which depends on providing excellent customer service, is most likely to have intangible critical assets in the form of employee skills and training programs. The other options, which revolve around machinery, equipment, and automation, are more likely to have tangible critical assets.

In Which of the Following Cases Is a Firm Most