Question

The industrial organization (I/O) model argues that Group of answer choices

a. the key factor in success is choosing the correct industry in which to compete.
b. the firm's internal resources and capabilities represent the foundation for development of a value-creating strategy.
c. the key to earning above-average returns is strategic flexibility.
d. the internal structure of the organization must match the industry in which it competes in order to earn above-average returns on investment.

Answer 1

The key factor in success is choosing the correct industry in which to compete.

Step-by-step explanation:

The industrial organizational model explains that external factors affect any organization internally. The competition between different industries increases and imposes pressure on firms and helps to find out strategies that will maximize the profits.

Choosing the correct industry helps us to determine our success rate. Identifying our potential and what we are good at helps us to select the industry that we can compete with. The people who make decisions in a particular organization should take decisions that would make the particular firm a successful one.