Question: Even though many valuable, rare, and inimitable resources were generated at Xerox's Palo Alto Research Center (PARC), the management at Xerox's headquarters failed to gain

Even though many valuable, rare, and inimitable resources were generated at Xerox's Palo Alto Research Center (PARC), the management at Xerox's headquarters failed to gain a competitive advantage by exploiting the breakthroughs in computing software and hardware. What is the most likely implication of this example?

It is advisable to outsource research and development functions.

Competitive advantage cannot be gained through unrelated diversification.

A firm must be effectively organized to capture value.

It is better to build competitive advantage on tangible assets rather than intangible assets.

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