Final answer:
Rarity is one of the qualities that can make an asset a strategic resource as it indicates that the resource is not widely available and thus provides a competitive advantage.
Step-by-step explanation:
The rarity of an asset is one of the four qualities that makes it a strategic resource for a firm. Rarity is crucial because it signifies that the resource is not commonly available to competitors, which can provide a competitive edge to the firm that possesses it. When a resource is rare, it fulfills two key aspects:
- The resource must have been produced.
- The resource can be used to produce other goods and services.
However, rarity alone is not sufficient for an asset to confer a competitive advantage; the asset must also be valuable, inimitable, and organizationally embedded. Rarity helps in creating a unique proposition and prevents competition from easily replicating the advantage.