4 assumptions of I/O model

Question 1

1

Answer 1

External environment imposes pressures and constraints that determine strategic choices

Question 2

2

Answer 2

Similarity in strategically relevant resources causes competitors to pursue similar strategies.

Question 3

3

Answer 3

Resource differences among competitors are short-lived due to resource mobility across firms

Question 4

4

Answer 4

Strategic decision makers are rational and engage in profit-maximizing behaviors.