Dynamic Capabilities in Business

What distinguishes dynamic capabilities from traditional capabilities?

• Prioritization of short-term goals

• Concentration on cost reduction

• Emphasis on adaptability and flexibility

• Focus on operational efficiency

Which company is used as an example of effectively using dynamic capabilities in the introduction?

• Microsoft

• Netflix

• Apple

• Xiaomi

What is the first key component of dynamic capabilities?

• Seizing opportunities

• Transforming resources

• Sensing opportunities and threats

• Investing in R&D

How did Netflix demonstrate the component of sensing opportunities and threats?

• By reducing subscription prices

• By acquiring smaller companies

• By focusing on DVD rentals

• By monitoring technological advancements and shifting to streaming

What strategic move did Xiaomi make to seize the smartphone market opportunity?

• Partnering with Apple

• Focusing on luxury smartphone models

• Investing heavily in offline stores

• Offering high-quality devices at affordable prices

Which benefit of dynamic capabilities is demonstrated by Zoom during the pandemic?

• Increased organizational resilience

• Adaptability in uncertain environments

• Cost reduction

• Sustained competitive advantage

What challenge did GE face in developing dynamic capabilities?

• Cultural resistance to change

• High costs of innovation

• Balancing stability and flexibility

• Lack of market research

Why did Kodak fail to adapt to the digital revolution?

• Poor marketing strategies

• Lack of technological expertise

• Cultural resistance to change

• High costs of innovation

What is a key challenge in balancing stability and flexibility?

• Reducing operational costs

• Ensuring constant innovation

• Increasing market share

• Avoiding constant disruptions

What is the primary focus of dynamic capabilities according to the summary?

• Resource optimization

• Cost reduction

• Short-term profitability

• Adapting to changing market conditions