Causally ambiguous means that:
A) the connection between cause and effect of capital is unclear in the firm.
B) rivals find it difficult to understand how the firm uses its capabilities to gain competitive advantage.
C) the connection between industry and firm performance is unclear.
D) the effect of a firm's resources are unclear to the firm itself.

Question

Quizplus · Accepted Answer

Causally ambiguous refers to situations where rivals find it difficult to understand how a firm uses its capabilities to gain a competitive advantage. This means that while the firm may have certain resources or capabilities that contribute to its success, it is not always clear how these resources or capabilities are being used to achieve a competitive advantage.

Causally Ambiguous Means That