The Industrial Organization (I/O) approach to competitive advantage advocates that external factors are ________ internal factors in a firm achieving competitive advantage.
A) less important than
B) equally important as
C) more important than
D) more common than
E) less common than

Question

Quizplus · Accepted Answer

The I/O approach suggests that external factors, such as industry structure and competitive forces, play a more important role in a firm achieving competitive advantage than internal factors such as resources and capabilities. This is because the external environment dictates the level of competition in the industry, and firms that can best adapt to these external forces are more likely to be successful.

The Industrial Organization (I/O) Approach to Competitive Advantage Advocates That