If firms that do not possess resource or capabilities face a cost disadvantage in obtaining these resources or capabilities compared to the firms that already possess them,these resources and capabilities are termed
A) rare.
B) valuable.
C) imperfectly imitable.
D) perfectly imitable.

Question

Quizplus · Accepted Answer

The resources and capabilities described in the statement are imperfectly imitable. This is because firms that do not possess them face a cost disadvantage in obtaining them, indicating that they are difficult to replicate fully or may require significant investments in time or money to develop. Rare and valuable resources can also confer a competitive advantage, but the statement specifically identifies a cost disadvantage for firms lacking these resources or capabilities, indicating that they are not rare or uniquely valuable. Perfectly imitable resources and capabilities can be easily replicated, which is not the case here.

If Firms That Do Not Possess Resource or Capabilities Face