If competitors possess the same valuable resource, it is not a source of competitive advantage because all of these firms can potentially exploit that resource in the same way.

Question

Quizplus · Accepted Answer

For a resource to be a source of competitive advantage, it must be valuable, rare, inimitable, and non-substitutable (VRIN criteria). If competitors possess the same valuable resource, it is not rare or inimitable, thus not a source of competitive advantage.

If Competitors Possess the Same Valuable Resource, It Is Not