Resource and capability analysis is a powerful tool for

Multiple Choice

justifying the expenditures on state$-$of$-$the$-$art manufacturing plants and equipment, efficient distribution facilities, attractive real estate locations, or ownership of valuable natural resource deposits.

sizing up the company's competitive assets and determining whether they can provide the foundation necessary for competitive success in the marketplace.

insulating a company against the combined impact of the industry's driving forces and industry key success factors.

assessing the value of a company's primary competitor's core competencies and R&D investments.

showing how much profit is earned on each dollar spent on R&Das well as the number of competitive assets in comparison to the market leader.