Question

The success of many multinational corporations is based not just upon the goods or services that they sell in foreign nations, but also upon the core competencies that underlie the development, production, and marketing of those goods or services. True False

Answer 1

Answer:

The correct answer is True.

Explanation:

Core competencies are the strengths that define an organization. They provide the basis from which the company will grow, take advantage of new opportunities and offer value to customers. The core competencies of a company are not easily replicated by other organizations, whether they are existing competitors or new entries in their brand.

A company can have more than one basic competence. Basic competencies, which are sometimes called core capabilities or distinctive competencies, help create a sustained competitive advantage for organizations.

The concept of identifying and nurturing core competencies to drive competitive advantages and future growth applies to companies in all sectors.