Michael Porter argues that advanced factors are the most significant f

QUESTION

Michael Porter argues that advanced factors are the most significant for competitive advantage.

Indicate whether the statement is true or false.

ANSWER

TRUE
Michael Porter argues that advanced factors are the most significant for competitive advantage. The benefits of investments in advanced factors of production by related and supporting industries can spill over into an industry, thereby helping it achieve a strong competitive position internationally. Unlike the naturally endowed basic factors, advanced factors are a product of investment by individuals, companies, and governments.