GM 105 Exam 2 - Chapter5 (100% correct answers)

Organizational analysis correct answers identifying and developing an organization's resources and competencies Resources correct answers an organization's assets and are thus the basic building blocks of the organization Tangible assets correct answers plant, equipment, finances, location, human assets, employee skills, motivation Intangible assets correct answers technology, patents and copyrights, culture, and reputation Capabilities correct answers a corporation's ability to exploit its resources; consist of business processes and routines that manage the interaction among resources to turn inputs into outputs Dynamic capabilities correct answers constantly changed and reconfigured capabilities Competency correct answers a cross-functional integration and coordination of capabilities Core competency correct answers a collection of competencies that crosses divisional boundaries, is widespread within the corporation, and is something that the corporation can do exceedingly well Distinctive competencies correct answers when core competencies are superior to those of the competition VRIO framework correct answers Value, Rareness, Imitability, Organization (of competencies) Value correct answers Does it provide customer value and competitive advantage? Rareness correct answers Do no other competitors possess it? Imitability correct answers Is it costly for others to imitate? Organization correct answers Is the firm organized to exploit the resource? clusters correct answers geographic concentrations of interconnected companies and industries; provide access to employees, suppliers, specialized information, and complementary products Durability, imitability correct answers Two characteristics that determine sustainability of a firm's distinctive competency Durability correct answers rate at which a firm's underlying resources, capabilities, or core competency depreciate or become obsolete