Which of the following is NOT an assumption of the Industrial Organization,or I/O,model?
A) Organizational decision makers are rational and committed to acting in the firm's best interests.
B) Resources to implement strategies are not highly mobile across firms.
C) The external environment is assumed to impose pressures and constraints that determine the strategies that result in superior performance.
D) Firms in given industries,or given industry segments,are assumed to control similar strategically relevant resources.

Question

Quizplus · Accepted Answer

The I/O model assumes that resources are highly mobile across firms, meaning that any firm can acquire the resources needed to implement strategies, which contradicts option B.

Which of the Following Is NOT an Assumption of the Industrial