Chapter 5
DISCUSSION QUESTIONS What is the relevance of the resource-based view of the firm to strategic management in a global environment? it permits the organization to be seen as a whole

In doing so, the strengths and weaknesses within the firm can be examined. This is done because as stated in the Hunger & Wheelen (2006, 106) text, "scanning and analyzing the external environment for opportunities and threats is not enough to provide an organization a competitive advantage."

five-step, resource-based approach to strategy analysis:
1) Identify and classify the firm's resources in terms of strengths and weaknesses.
2) Combine the firm's strengths into specific capabilities and core competencies.
3) Appraise the profit potential of these capabilities and competencies in terms of their potential for sustainable competitive advantage and the ability to harvest the profits resulting from their use.
4) Select the strategy that best exploits the firm's capabilities and competencies relative to external opportunities.
5) Identify resource gaps and invest in upgrading weaknesses.
How can value-chain analysis help identify a company’s strengths and weaknesses?
You can use value chain analysis to ensure that each business activity you are involved in creates value for your customers and to help identify your company’s strengths and weaknesses.
The value chain analysis process begins with examining each of the activities you and your employees do to create a positive experience for your customer.

In what ways can a corporation’s structure and culture be internal strengths or weaknesses?
In most organizations, the “company way” is derived from the corporation’s culture. Corporate culture is the collection of beliefs, expectations, and values learned and shared by a corporation’s members and transmitted from one generation of employees to another. The