A firm's illegal conduct has no bearing on the firm's competitive advantage because it does not necessarily divert funds form strategic investments or affect its image and reputation with its customers.

Question

Quizplus · Accepted Answer

A firm's illegal conduct can negatively impact its image and reputation with customers, potentially leading to a loss of market share and competitive advantage. It may also result in legal fees and fines, diverting funds from strategic investments. Therefore, illegal conduct does have a bearing on a firm's competitive advantage.

A Firm's Illegal Conduct Has No Bearing on the Firm's