The difference between a resource and a capability is:
A) a resource is a productive input or competitive asset,while a capability is the capacity of the firm to perform some internal activity competently.
B) a resource is a reserve supply or back-up supply function,whereas a capability is the ability to manage the resource function.
C) a resource is a mechanism used for carrying out some responsibility,while a capability possesses the qualities needed to do a particular thing.
D) a resource is the firm's fixed assets,while a capability defines whether the firm is competent to perform some function.
E) All of these.

Question

Quizplus · Accepted Answer

A resource refers to the tangible and intangible assets that a firm possesses, while a capability is the firm's ability to use those resources effectively to achieve its objectives. In other words, a resource is what a firm has, while a capability is what a firm can do with what it has. Therefore, option A is the best answer.

The Difference Between a Resource and a Capability Is