Chapter3 exercise and test.docVIP

Chapter3 exercise and test 一、TRUE/FALSE 1. In the global market, employees move freely from firm to firm, so they are not an important source of competitive advantage for the firm. 2. Firms should seek to continually develop new core competencies because all core competencies have limited life spans. 3. The sustainability of a competitive advantage depends upon the imitability of the core competence, the availability of substitutes for the core competence, and the rate of obsolescence of the core competence. 4. A useful rule for evaluating whether a capability is a core competence is its historical ability to provide 5. Analyzing the internal environment enables a firm to determine what it might be able to do by identifying what opportunities exist. 6. Analyzing the internal environment enables a firm to determine what it can do by identifying what opportunities exist. 7. Given enough time, any firm!ˉs competitive dvantage can be imitated by its competitors. 8. Some resources, such as financial capital, have inherent value to the firm, while others are not inherently valuable. 9. In the global economy, traditional factors such as labor costs, access to financial resources and raw materials, and protected or regulated markets are no longer sources of competitive advantage. 10. A global mind-set is free of the assumptions of a single country, culture, or context. 11. Analysis of the firm!ˉs internal organization eamines the firm!ˉs portfolio of resources but excludes the bundles of heterogeneous resources and capabilities. 12. Value is measured by the variable and fixed costs associated with the production and marketing of a particular product compared with the revenue and profits the product generates. 13. Value is created when the firm exploits its core competencies or competitive advantages to meet or exceed the demanding standards of global competition. 14. Creating customer value is the source of the firm!ˉs potential to earn above-average returns 15. The