Leading guitar string producer Wound Up Inc. has enjoyed a competitive advantage based on its proprietary coating that gives its strings a clearer sound and longer lifespan than uncoated strings. One of Wound Up's competitors, however, has recently developed a similar coating using less expensive ingredients, which allows it to charge a lower price than Wound Up for similar-quality strings. Wound Up's competitive advantage is in danger due to
A. resource immobility.
B. direct imitation and substitution.
C. a lack of perceived value.
D. a lack of organization.
Answer: B
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Fill in the blank(s) with the appropriate word(s).
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