The concept that explains the firm's ability to produce output with differing bundles of resources is called
A)Resource heterogeneity
B)Resource immobility
C)Barriers to entry
D)Imitability

Question

​The concept that explains the firm's ability to produce output with differing bundles of resources is called
A)​Resource heterogeneity
B)Resource immobility
C)Barriers to entry
D)​Imitability

Quizplus · Accepted Answer

Resource heterogeneity refers to the idea that firms have access to different combinations of resources, allowing them to produce output in varying ways. This provides firms with a competitive advantage over others that do not have access to the same resources or combinations of resources. Resource immobility, barriers to entry, and imitability are also important concepts, but they do not directly relate to a firm's ability to produce output with differing bundles of resources.

​The Concept That Explains the Firm's Ability to Produce Output

The Concept That Explains the Firm's Ability to Produce Output