When a firm combines Resources and Capabilities, it builds a core competencies group of answer choices activities; processes capabilities; skills knowledge; information resources; capabilities.
The resources and expertise that make up a company's competitive advantages are its core competencies. Any organization's core competencies are the capabilities, skills, resources, and capacities that make up its "defining strength." A company's core strength is unique, making it difficult for other organizations—whether they are longtime rivals or recent market entrants—to imitate it.
Each skill is a value that enhances the company's core positioning. They are important because they can make it very difficult for rivals to precisely reproduce the company's goods or its success. This is why one of the most important steps in strategic planning is determining key skills.
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