Capabilities may be costly to imitate if they have a unique and valuable organizational culture, and are causally ambiguous and socially complex.

Question

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Capabilities with a unique and valuable organizational culture may be difficult to imitate because culture is difficult to replicate. Additionally, if the capabilities are causally ambiguous and socially complex, it may be difficult for other organizations to understand how to replicate them, making them costly to imitate.

Capabilities May Be Costly to Imitate If They Have a Unique