The competitive power of a company's core competence or distinctive competence depends on:
A) whether it helps differentiate a company's product offering from the product offerings of rival firms.
B) how hard it is to copy and how easily it can be trumped by substitute resource strengths and competitive capabilities of rivals.
C) whether customers are aware of the competence and view the competence positively enough to boost the company's brand-name reputation.
D) whether the competence is one of the industry's key success factors.
E) whether the competence is technology-based or based on superior marketing know-how.

Question

Quizplus · Accepted Answer

The competitive power of a company's core competence or distinctive competence depends on how hard it is to copy and how easily it can be trumped by substitute resource strengths and competitive capabilities of rivals. If a company's core competence is easily replicable or can be overcome by other companies' resource strengths, then it does not provide a sustainable competitive advantage. Therefore, choice B is the best answer.

The Competitive Power of a Company's Core Competence or Distinctive