According to Barney, a firm orientated to a product market strategy is unlikely to generate economic rent for which reason:
A) If there are clear substitutes, then the buyers may choose one of them.
B) Other firms in the market cannot buy the same resources and eliminate any rent-making possibilities.
C) The market for such resources will value the assets to account for the future earnings potential, making the assets very expensive and eliminating the possibility of earning economic rent.
D) Competition is less important than resources and capabilities.

Question

Quizplus · Accepted Answer

The market will price resources based on their future earnings potential, making them expensive and reducing the chance of earning economic rent.

According to Barney, a Firm Orientated to a Product Market