Final answer:
The industrial firm can develop its facility into a capability by using economies of scale, investing in optimal production technology, and utilizing its strategic location to increase efficiency and lower costs.
Step-by-step explanation:
An industrial fabrication firm that has purchased a facility capable of housing large-scale projects up to 120 feet could develop this tangible resource into a capability by leveraging economies of scale, optimal production technology, and strategic location to lower average costs and enhance profitability. By maximizing the use of the facility for large-scale production, the firm can capitalize on the space to produce goods more efficiently, potentially reducing costs per unit as production scales up. Additionally, the firm should optimize its production technology and processes to further drive down costs and increase production efficiency. Investment in capital, such as advanced machinery within the factory, can also modernize operations and contribute to a more robust manufacturing capability. Lastly, its location outside crowded city centers can provide more accessible freight access and add to the firm's competitive edge in the marketplace.