LaserTech is a manufacturer of industrial lasers and has developed a new, patented technology that allows its customers to manufacture their products more precisely with a higher level of consistency and at a lower cost than they could previously. LaserTech's executives believe that no rivals have a similar technology and that it would be very difficult for rivals to copy this technology since the benefits of the new technology can only be realized within LaserTech's system, which includes processes that are protected by trade secrets, making it difficult for rivals to understand the relationship between the company's new technology and its competitive advantage.
-LaserTech's new technology appears to be
A) valuable and rare but not costly to imitate.
B) valuable and either rare or costly to imitate.
C) valuable but neither rare nor costly to imitate.
D) valuable, rare and costly to imitate.

Question

Quizplus · Accepted Answer

LaserTech's new technology is valuable because it allows customers to manufacture their products more precisely with a higher level of consistency and at a lower cost than before. It is also rare because no rivals have a similar technology. Additionally, it is costly to imitate because the benefits of the technology can only be realized within LaserTech's system, which includes protected trade secrets that make it difficult for rivals to understand the relationship between the technology and the company's competitive advantage.

LaserTech Is a Manufacturer of Industrial Lasers and Has Developed