Which of the following statements regarding competitive parity and competitive advantage is accurate?
A) Some firms develop valuable,rare,and costly-to-imitate resource and capabilities in being efficient second moversthat is,imitating and improving on the product and technological innovations of other firms.
B) Firms that benchmark their performance against the performance of successful competitors can expect to develop at least a temporary competitive advantage.
C) Firms must be first movers to gain competitive advantages.
D) Even if all a firm does is create value in the same way as its competitors,the firm can expect to earn at least a temporary competitive advantage.

Question

Quizplus · Accepted Answer

Option A correctly states that some firms can develop a competitive advantage by being efficient second movers and improving on the innovations of other existing firms. Option B is incorrect because benchmarking does not always result in a competitive advantage. Option C is incorrect because being a first mover is not always advantageous as it also comes with risks and uncertainties. Finally, option D is incorrect because creating the same value as competitors does not necessarily result in a competitive advantage; a firm must have a unique value proposition to differentiate itself from competitors.

Which of the Following Statements Regarding Competitive Parity and Competitive