Capabilities may be costly to imitate if firms have unique and valuable organizational cultures, are causally ambiguous, or are socially complex

An attractive industry is one that is characterized by high entry barriers, suppliers and buyers with strong bargaining power, low threats from substitute products, or low rivalry among firms

A firm has achieved __________ when it successfully formulates and implements a value-creating strategy.

Although an organization’s good reputation is a valuable resource that takes years of superior marketplace competence to achieve, it is not a good basis for building a competitive advantage because it can be destroyed almost instantly by bad publicity

In order to gain information about its competitor, EBD Corp., Alpha Company obtained copies of EBD’s annual reports for the last five years. This action is unethical, and possibly illegal

Understanding how to leverage the firm’s unique bundle of resources and capabilities is a key outcome decision makers seek when analyzing the internal organization

Creating value for customers is the source of above-average returns for a firm

Methods of waste reduction and options to use renewable energy are aspects of the technological environment segment that firms should monitor

The best way to understand the relationship between resources, capabilities, and core competencies is to recognize that resources are the source of capabilities. Some capabilities lead to the development of core competencies and these, in turn, may lead to competitive advantages

Analyzing the internal environment enables a firm to determine what it CAN DO by identifying resources, capabilities, and core competencies in the internal organization