V.R.I.O. Analysis

Critically evaluate the resource-based view (RBV) of the firm as a means of explaining the sources and strength of the competitive advantage of Apple.

Acquisition and organisation of resources can be critical success factor in an organization. While on the other hand, change requires a firm to gain expand and utilise resource such as human, financial, knowledge as a crucial asset. Resource based approach supports this view and as Tywoniak (2007) claimed by that resource based view is the most dominant theory in history of management. This is achieved by targeting state of sustained competitive advantage by controlling resources and capabilities. This view emphasis on the need for a ‘fit’ among capabilities and external market, and since each firm has unique capabilities and resources, this result in achieving strategic

the internal analysis of the firm and the external analysis of the industry and competitive environment

Analyze the external and internal environment for opportunities, threats, strengths, and weaknesses that impact the firm’s competitiveness.

The resource-based view was developed to help emphasize internal capabilities as a means of creating competitive advantage (Henry, n.d.) In this view, the organization is comprised of a series of resources that are used by management. These resources are the source of new products and the internal improvements that help companies to better compete in the marketplace. There are two different types of resources tangible and intangible. The former category consists of physical assets, and is characterized as physical resources, human resources and capital resources. So physical resources are the buildings, machinery, materials and productive capacity. At Coca-Cola, the company's physical resources

Selecting a business strategy that details valuable resources and distinctive competencies, strategizing all resources and capabilities and ensuring they are all employed and exploited, and building and regenerating valuable resources and distinctive competencies is key. The analysis of resources, capabilities and core competencies describes the external environment which is subject to change quickly. Based off this information a firm has to be prepared and know its internal resources and capabilities and offer a more secure strategy. Furthermore, resources and capabilities are the primary source of profitability. Resources entail intangible, tangible, and human resources.

Barney, J. (2004). Firm resources and Sustained Competitive Advantage. Strategy: Process Content Context: an international perspective, de Wit & Meyer , 285-292.

A company’s strengths are found within their own company and members. Depending on how well and to what extent a company uses its resources determines just what its strengths are. These strengths may be what they do better than other companies, what they do different from other

For a business to be successful and have a competitive advantage, it is important to evaluate the company’s resources and capabilities (Pitt & Koufopoulos, 2012). Resources in a company are the productive assets owned (tangible or intangible) whereas capabilities are what the company can do with this (Grant, 2010). “Establishing competitive

Moving ahead,in order to get the idea about company’s internal environment and its capacity to survive and prosper in the market(Strategic capability), I analysed the resources and competencies(Appendix 3) ,the value chain (Appendix 3),the Cultural Web(Appendix 5). To find out the influence of stakeholders on the company I applied Power/Interest to the company and finally analysis of strengths,weaknesses ,opportunities and threats to the company(SWOT Analysis-Appendix 7) provide with clear idea about the strategic position of M&S.

This can be clearly illustrated by the situation Gillette faced during the leadership of the CEO Vincent Ziegler. He started to buy other companies and failed to generate more profit. At first his plan looked very promissory and generated revenue but at the end the company ended up losing money and time they could have invested in their own business.

Zappos, as the first and the world’s largest online shoes retailer, has developed a high quality experience and delivered “wow” to customers. It has established a strong relationship with customer and stick to bring the store to the customer’s home. It has used less twenty yeas to become a profitable company holding an outstanding reputation for customer service and its employee are passionately engage in their works. In this paper, I aimed to analyze the relationship between strategic capabilities and performance in Zappos’s success. The business environment is not constant rather than changeable, so how Zappos goes ahead of revival and forms its unique competency advantages. I will utilize VRIO test to detect the company’s level of competitive advantage. In addition, I will continually combine Barney’ theory of resource based view(RBV) with Zappos to identified which resources it processes and how Zappos used those to form its core competency.

Throughout history there have been many successful companies as well as companies that have been a debacle. The success of the company has to do with the management and how it executes its strategy. If the management is ineffective, the company will most likely fail; however, if the company has good management it is more likely to prosper. There are many responsibilities that a manager must complete, chief among them are the four functions of management are planning, organizing, leading, and controlling (PowerPoint). In order for the company to be successful the management must fulfill all four functions. In some case not all four functions are met to expectation, with the results that the company to be not as successful as it could be if they

These two streams of research - market orientation and the RBV of the firm - form

Resources are the source of the firm’s capabilities. Resources are bundled to create organisational capabilities. Some of a firm’s resources are tangible and intangible. Tangible resources are assets that can be seen and quantified. Intangible resources include assets that typically are rooted deeply in the firm’s history and have accumulated over time. Intangible resources are relatively difficult for competitors to analyse and imitate. The four types of tangible resources are financial, organisational, physical and technological. And the three types of intangible resources are human, innovation and reputational (Hanson, D., Hitt, M., Ireland, R. D., & Hoskisson, R. E., 2011, pp. 75-78).