In 1990, academics Prahalad and Hamel were among the first to point out that:
A)The basis for strategy, is a firm's corporate culture
B)The source of prediction for the future of the firm and the evolution of its external environment, as well as the source of new products lies in its capabilities.
C)The source of new products, the roots of competitiveness, and a source of cohesion for a firm's identity are its human resources
D)Capabilities could be the roots of competitiveness and profits, more than industry structure.

Question

Quizplus · Accepted Answer

Prahalad and Hamel were among the first to introduce the concept of capabilities as a strategic resource that could lead to competitive advantage and profits. They argued that a firm's internal capabilities, such as its skills, knowledge, and resources, could be more important than the external industry structure in determining its success. This concept was a departure from traditional strategic thinking, which focused primarily on industry analysis and positioning.

In 1990, Academics Prahalad and Hamel Were Among the First