Imagine that you have been asked to apply the industrial organization (I/O) model to explain why a firm is performing poorly. What is the most likely explanation for the firm's poor performance according to this model?
A) Lack of core or distinctive competencies
B) Inability to achieve a sustainable competitive advantage
C) Failure to carefully examine opportunities and threats in the external environment
D) All of these

Question

Quizplus · Accepted Answer

The I/O model emphasizes the importance of external factors and the industry environment in determining a firm's performance, so failing to examine opportunities and threats in the external environment is a key reason for poor performance according to this model.

Imagine That You Have Been Asked to Apply the Industrial