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Strategic Management I/O Model

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• Compare and contrast the I/O Model of Above-Average Returns with the Resource-Based Model of Above-Average Returns.
• If you were the manager implementing these models how could you use them in the firm's best interests? Could managers use them "against the firm's best interests". If you saw these models being implemented in an unethical way, what would you do?
• Finally, explain how these models affect the strategic management process of the

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The expert examines a strategic management I/O model. The solution compares and contrasts the I/O Model of Above-Average Returns with the Resource-Based Model of Above-Average Returns.

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• Compare and contrast the I/O Model of Above-Average Returns with the Resource-Based Model of Above-Average Returns.

In reference to the two different business models that are used for achieving above-average returns, the Industrial Organization Model is predicated upon the belief that above-average returns are contingent upon external characteristics that the firm has no control over. The I/O model is concerned about industry structure wherein attractiveness is placated upon the external environment as opposed to the internal characteristics within the firm. In regard to the business assumptions it is assumed that the external environment imposes constraints that facilitate the development of strategies that could produce superior ...

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