Question

Although McDonald's is competing in an unattractive industry, it has improved its performance by focusing on product innovations and by enhancing existing facilities. This improved performance is best explained by

a.

globalization.

b.

hypercompetition.

c.

the I/O model.

d.

the resource-based model.

Answer 1

D) the resource-based model

Step-by-step explanation:

The resource-based model states that a company's long term success comes from effectively using its resources, specially their valuable, strategic and unique resources.

In McDonald's case, it has several unique resources that help them establish themselves as global leaders in the fast food industry, and its most valuable, strategic, rare and unique resources are their ubiquity (they restaurants everywhere) and their global recognition (most of the world's population recognizes their name).