Which is an example of a physical resource?

Enhance your understanding of company resources, capabilities, and competitive positioning. Engage with interactive multiple-choice questions, gain insights through hints and detailed explanations. Prepare effectively for your exam!

The choice of company vehicles and buildings as an example of a physical resource is correct because physical resources refer to tangible assets that a company uses to operate its business. These resources are concrete and can be easily quantified, such as vehicles used for transportation and logistics, as well as buildings that house operations, offices, and production facilities.

Physical resources are a crucial aspect of a company's capability because they directly contribute to the efficiency and effectiveness of operations, impacting production and service delivery. In contrast, the other options pertain to intangible resources or assets. Intellectual property rights are legal assets that protect the intangible creations of a company, while human capital refers to the skills and abilities of the workforce, and brand reputation relates to the public perception and image of the brand. All these aspects are essential for a company's strategy but do not fit the definition of physical resources.

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