Multiple Choice
Which of the following is an example of a normative, as opposed to positive, statement?
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0. Basic Principles of Economics
Positive and Normative Analysis
Multiple Choice
The resource-based view of the firm combines which of the following perspectives?
A
Positive and normative analysis
B
Internal capabilities and strategic management
C
Consumer preferences and production technology
D
Market structure and government regulation
Verified step by step guidance1
Understand that the resource-based view (RBV) of the firm is a framework in strategic management that focuses on the internal resources and capabilities of a firm as the primary source of competitive advantage.
Recognize that RBV contrasts with other perspectives that emphasize external factors such as market structure, consumer preferences, or government regulation.
Identify that RBV combines insights from internal capabilities (like unique resources, skills, and knowledge within the firm) with strategic management practices that leverage these capabilities to achieve competitive advantage.
Note that positive and normative analysis, consumer preferences and production technology, or market structure and government regulation are not the primary focus of RBV, but rather external or different analytical perspectives.
Conclude that the correct combination in the resource-based view is 'Internal capabilities and strategic management' because it centers on how firms use their internal strengths strategically.
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