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What is the distinctive competency Toyota appears to be hoping to achieve by investing in Uber Technologies?

1 Answer

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Available Options are:

a. Basic factors of production

b. Intellectual property

c. Organizational architecture

d. Resources

Answer:

Option B. Intellectual property

Step-by-step explanation:

The reason is that Uber technologies are the future of the automobile industry and Uber is also one of biggest customer of the vehicles if the newer technology is self reliant and requires no car drivers which would be the motivator factor companies like Uber, Careem, etc to buy such cars which would substantially lower the costs of the Uber and turn the tables as Uber is trading at loss for past 2 to 3 years. Furthermore, it generates greater demand of product for Toyota if the newer technology is helpful in reducing the labor cost, which it would. So Intellectual property will be the answer as this technological innovation would be patented which will be the intellectual property of Toyota, a bulk revenue generating asset. So the option B is correct.

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