A company that is at a disadvantage in the marketplace because it lacks competitively valuable resources possessed by rivals
A)should consider divesting assets and making future investments in promising new industries.
B)may be able to develop substitute resources that accomplish the same objective as the competitively valuable resource possessed by rivals.
C)can still marshal competitive power in the marketplace by incorporating product or service features desired by niche buyers.
D)is virtually blockaded from using offensive strategies and must rely on defensive strategies.
E)should abandon strategy elements that have caused its weakness in the marketplace.

Question

Quizplus · Accepted Answer

The company that lacks competitively valuable resources possessed by rivals can develop substitute resources that accomplish the same objective as the competitively valuable resource possessed by rivals. This can help the company to level the playing field and compete effectively in the marketplace. Divesting assets and abandoning strategy elements or relying solely on defensive strategies may not be effective long-term solutions for the company's competitiveness. Incorporating product or service features desired by niche buyers is also a possibility, but developing substitute resources is more likely to provide sustainable competitive advantage.

A Company That Is at a Disadvantage in the Marketplace