Internal Resources and Capabilities - Strategy
If you still have questions or prefer to get help directly from an agent, please submit a request.
We’ll get back to you as soon as possible.
- Marketing, Advertising, Sales & PR
- Accounting, Taxation, and Reporting
- Professionalism & Career Development
Law, Transactions, & Risk Management
Government, Legal System, Administrative Law, & Constitutional Law Legal Disputes - Civil & Criminal Law Agency Law HR, Employment, Labor, & Discrimination Business Entities, Corporate Governance & Ownership Business Transactions, Antitrust, & Securities Law Real Estate, Personal, & Intellectual Property Commercial Law: Contract, Payments, Security Interests, & Bankruptcy Consumer Protection Insurance & Risk Management Immigration Law Environmental Protection Law Inheritance, Estates, and Trusts
- Business Management & Operations
- Economics, Finance, & Analytics
What are Internal Resources and Capabilities?
Firms create value by exploiting internal resources and capabilities to meet market demands.
What constitutes a resource can be varied and diverse.
Tangible resources include:
Intangible resources include:
Resources along, generally, do not result in competitive advantage.
Competitive advantage results from how resources are employed.
The value of the resources is measured by the extent to which it contributes to the development of a competitive advantage.
A company’s capabilities concerns it ability to deploy resources.
They generally materialize through the development and exchange of information, knowledge, and processes.
While resources are acquired, capabilities are developed.
The use and execution of capabilities is accounted for within Porter’s Value Chain.
The value chain classified capabilities as primary and secondary.
Primary activities add direct value to the firm.