The resource-based view differs from the institution-based view in that the resource-based view focuses on a firm's _____.
A) external threats and opportunities
B) internal strengths and weaknesses
C) external strengths and opportunities
D) internal threats and weaknesses

Question

The resource-based view differs from the institution-based view in that the resource-based view focuses on a firm's _____.
A) external threats and opportunities 
B) internal strengths and weaknesses 
C) external strengths and opportunities 
D) internal threats and weaknesses

Quizplus · Accepted Answer

The resource-based view focuses on a firm's internal strengths and weaknesses, such as unique resources and capabilities, to create sustained competitive advantage. The institution-based view, on the other hand, focuses on the external environment, including institutional and regulatory factors, that influence a firm's strategy and performance.

The Resource-Based View Differs from the Institution-Based View in That