Which of the following is action-based in determining capabilities?

Innovative leadership practices are action-based in determining capabilities because they directly influence how an organization can leverage its human and intellectual resources to foster creativity and innovation. Leadership practices that prioritize innovation often involve actively supporting new ideas, encouraging risk-taking, and creating an environment where team members can experiment and learn from their experiences. This proactive approach enables a company to enhance its capabilities, adapt to changing market conditions, and maintain a competitive edge.

In contrast, while cost-cutting measures, collaboration with external vendors, and market position analysis can contribute to a company’s strategic framework, they are not inherently action-based in the same sense. Cost-cutting may focus on reducing expenses rather than enhancing capabilities, collaboration with vendors primarily expands resource access rather than developing internal capabilities, and market position analysis is more about assessing the company's standing rather than actively developing skills and practices that lead to new capabilities.