The Resource-Based View of the Firm

The Resource-Based View (RBV) of the firm is a strategic concept that suggests a company's competitive advantage comes from its unique internal resources and capabilities—such as skilled employees, proprietary technology, or brand reputation—rather than external factors. These resources must be valuable, rare, difficult to imitate, and organized effectively to help the company succeed over rivals. Essentially, RBV emphasizes that a firm’s distinct internal strengths are key to sustaining success and outperforming competitors in the marketplace.