Prince Edward Island - Essay

1164 Words Apr 20th, 2012 5 Pages
Prince Edward Island Preserve, Co
Patricia D
March 26, 2012

Executive Summary:
Prince Edward Island Preserve manufactures and produced high- quality, high priced specialty food products. P.E.I.P.C. experienced rapid growth in its short history. In the first few years of its existence, founder Bruce MacNaughton expanded his company from one manufacturing and retail outlet in 1989, following a second retail outlet in 1991. The company also diversified and opened two restaurants in 1989 and 1990 respectively. It is anticipated that P.E.I.P.C. will continue to grow, with projected sales for the year ending January 1992, to reach one million dollars.
In August 1991, MacNaughton, contemplated on future expansion. The two cities under
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MacNaughton should critically evaluate P.E.I.P.C’s performance measure for resources and capabilities by utilizing the VRINE model.
The VRINE Model
Value – A resource is valuable if it enables P.E.I.P.C to exploit opportunities to establish competitive advantage or negate threats. Japanese tourist comprises a large number of visitors to Prince Edward Island and Prince Edward Island Preserve, Co. outlets. The popularity of P.E.I and P.E.I.P.C’s products are well known to Japan. Essentially, the high level of spending by the Japanese, their fascination with P.E.I., traditions of gift giving and the amount of disposal income available to them, indicates that opportunities in Japan might be successful.
Rarity – P.E.I.P.C can enjoy temporary competitive advantage, so long as the content of ingredients used to make its specialty preserves remain rare and scarce relative to it competitors.
Inimitability/Non-substitutability – Other firms in P.E.I. has begun to retail specialty preserves in hopes to profit from P.E.I.P.C.’s success. Competitors might be able to imitate or substitute the value and resources quickly, at a low cost.
Exploitability – With a solid vision, financial base, coupled clear strategy formulation and implementation of its objectives, P.E.I.P.C. can exploit their brand and products domestically and manufacture their products globally with the resources available.
P.E.I.P.C can
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