Which of the following describes a resource?

• A. A tangible or intangible asset such as physical capital, financial assets, or human capital.
• B. A skill to execute a process.
• C. A market trend.
• D. A strategic plan.

Answer: (A)

Resources are assets a firm owns or controls that can be deployed to create value. These can be tangible, like physical capital (machines, buildings) and financial assets, or intangible, like human capital (skills and knowledge), intellectual property, or brand reputation. The option that describes a tangible or intangible asset such as physical capital, financial assets, or human capital matches this idea exactly.

Other ideas in the choices align with different concepts but not with resources. A skill to execute a process is a capability (what the firm can do with its resources), not an asset itself. A market trend is an external factor in the environment. A strategic plan is a management blueprint for actions.