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Capabilities are usually developed separately from specific functional areas such as manufacturing, R&D, and marketing

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

It is increasingly difficult for a firm to develop and sustain a competitive advantage because of the effects of globalization and:

Walmart uses core competencies, such as information technology and distribution channels, to create value for its customers through its “everyday low prices.”

In today’s global economy, some resources that were traditionally critical to firms’ efforts to produce, sell, and distribute goods are now less likely to be a source of competitive advantage

The length of time a firm can expect to create value by using its core competencies is a function of how quickly competitors can successfully imitate a good, service, or process

The resource-based model argues that:

“Motivating, empowering, and retaining employees” is an example of a capability that resides within the human resources functional area

Coca-Cola and PepsiCo have been accused of contributing to the obesity problem in the United States.  This accusation comes from the __________segment of the general environment.

Interpersonal relationships, trust, friendships among managers and between managers and employees, and a firm’s reputation with suppliers and customers are all examples of complex social phenomena that make capabilities easy to imitate