True Autos Inc.has been trying to directly copy the strategies of Red Autos Inc.Even though it is evident that Red Auto's Inc.'s success comes from its just-in-time inventory system, True Auto's Inc.has not been able to effectively apply the system in the same way.This is because the organizational structures, employees, cultures, and the overall business systems of both the companies vary from each other.Which of the following barriers to imitation does this scenario best illustrate?
A) Path dependence
B) Social complexity
C) Resource mobility
D) Resource homogeneity

Question

Quizplus · Accepted Answer

Social complexity describes situations in which different social and business systems interact with one another. It emerges when two or more individual systems are combined. Copying the emerging complex social systems is difficult for competitors because neither direct imitation nor substitution is a valid approach.