VRIO Analysis of MarketAxess Holdings Inc
Posted by Zachary Edwards on Mar-22-2018
The VRIO Analysis of MarketAxess Holdings Inc will look at each of its internal resources one by one to assess whether these provide sustained competitive advantage. The MarketAxess Holdings Inc VRIO Analysis also mentions at each stage whether these resources could be improved to provide a greater competitive advantage. Lastly, the resources analysed are summarised as to whether they offer sustained competitive advantage, has an unused competitive advantage, temporary competitive advantage, competitive parity or competitive disadvantage.
Valuable
- The MarketAxess Holdings Inc VRIO Analysis shows that the financial resources of MarketAxess Holdings Inc are highly valuable as these help in investing into external opportunities that arise. These also help MarketAxess Holdings Inc in combating external threats.
- According to the VRIO Analysis of MarketAxess Holdings Inc, its local food products are a valuable resource as these are highly differentiated. This makes the perceived value for these by customers high. These are also valued more than the competition by customers due to the differentiation in these products.
- The MarketAxess Holdings Inc VRIO Analysis shows that MarketAxess Holdings Inc's employees are a valuable resource to the firm. A significant portion of the workforce is highly trained, and this leads to more productive output for the organisation. The employees are also loyal, and retention levels for the organisation are high. All of this translates into greater value for the end consumers of MarketAxess Holdings Inc's products.
- According to the VRIO Analysis of MarketAxess Holdings Inc, its patents are a valuable resource as these allow the firm to sell its products without competitive interference. This results in greater revenue for MarketAxess Holdings Inc. These patents also provide MarketAxess Holdings Inc with licensing revenue when it licenses these patents out to other manufacturers.
- The MarketAxess Holdings Inc VRIO Analysis shows that MarketAxess Holdings Inc’s distribution network is a valuable resource. This helps it in reaching out to more and more customers. This ensures greater revenues for MarketAxess Holdings Inc. It also ensures that promotion activities translate into sales as the products are easily available.
- According to the VRIO Analysis of MarketAxess Holdings Inc, its cost structure is not a valuable resource. This is because the methods of production lead to greater costs than that of competition, which affects the overall profits of the firm. Therefore, its cost structure is a competitive disadvantage that needs to be worked on.
- The MarketAxess Holdings Inc VRIO Analysis shows that the research and development at MarketAxess Holdings Inc is not a valuable resource. This is because research and development are costing more than the benefits it provides in the form of innovation. There have been very few innovative features and breakthrough products in the past few years. Therefore, research and development are a competitive disadvantage for MarketAxess Holdings Inc. It is recommended that the research and development teams are improved, and costs are cut for these.
Rare
- The financial resources of MarketAxess Holdings Inc are found to be rare according to the VRIO Analysis of MarketAxess Holdings Inc. Strong financial resources are only possessed by a few companies in the industry.
- The local food products are found to be not rare as identified by MarketAxess Holdings Inc VRIO Analysis. These are easily provided in the market by other competitors. This means that competitors can use these resources in the same way as MarketAxess Holdings Inc and inhibit competitive advantage. This means that the local food products result in competitive parity for MarketAxess Holdings Inc. As this resource is valuable, MarketAxess Holdings Inc can still make use of this resource.
- The employees of MarketAxess Holdings Inc are a rare resource as identified by the VRIO Analysis of MarketAxess Holdings Inc. These employees are highly trained and skilled, which is not the case with employees in other firms. The better compensation and work environment ensure that these employees do not leave for other firms.
- The patents of MarketAxess Holdings Inc are a rare resource as identified by the MarketAxess Holdings Inc VRIO Analysis. These patents are not easily available and are not possessed by competitors. This allows MarketAxess Holdings Inc to use them without interference from the competition.
- The distribution network of MarketAxess Holdings Inc is a rare resource as identified by the VRIO Analysis of MarketAxess Holdings Inc. This is because competitors would require a lot of investment and time to come up with a better distribution network than that of MarketAxess Holdings Inc. These are also possessed by very few firms in the industry.
Imitable
- The financial resources of MarketAxess Holdings Inc are costly to imitate as identified by the MarketAxess Holdings Inc VRIO Analysis. These resources have been acquired by the company through prolonged profits over the years. New entrants and competitors would require similar profits for a long period of time to accumulate these amounts of financial resources.
- The local food products are not that costly to imitate as identified by the VRIO Analysis of MarketAxess Holdings Inc. These can be acquired by competitors as well if they invest a significant amount in research and development. These also do not require years long experience. Therefore, the local food products by MarketAxess Holdings Inc provide it with a temporary competitive advantage that competitors can too acquire in the long run.
- The employees of MarketAxess Holdings Inc are also not costly to imitate as identified by the MarketAxess Holdings Inc VRIO Analysis. This is because other firms can also train their employees to improve their skills. These companies can also hire employees from MarketAxess Holdings Inc by offering better compensation packages, work environment, benefits, growth opportunities etc. This makes the employees of MarketAxess Holdings Inc a resource that provides a temporary competitive advantage. Competition can acquire these in the future.
- The patents of MarketAxess Holdings Inc are very difficult to imitate as identified by the VRIO Analysis of MarketAxess Holdings Inc. This is because it is not legally allowed to imitate a patented product. Similar resources to be developed and getting a patent for them is also a costly process.
- The distribution network of MarketAxess Holdings Inc is also very costly to imitate by competition as identified by the MarketAxess Holdings Inc VRIO Analysis. This has been developed over the years gradually by MarketAxess Holdings Inc. Competitors would have to invest a significant amount if they are to imitate a similar distribution system.
Organisation
- The financial resources of MarketAxess Holdings Inc are organised to capture value as identified by the VRIO Analysis of MarketAxess Holdings Inc. These resources are used strategically to invest in the right places; making use of opportunities and combatting threats. Therefore, these resources prove to be a source of sustained competitive advantage for MarketAxess Holdings Inc.
- The Patents of MarketAxess Holdings Inc are not well organised as identified by the MarketAxess Holdings Inc VRIO Analysis. This means that the organisation is not using these patents to their full potential. An unused competitive advantage exists that can be changed into a sustainable competitive advantage if MarketAxess Holdings Inc starts selling patented products before the patents expire.
- The distribution network of MarketAxess Holdings Inc is organised as identified by the VRIO Analysis of MarketAxess Holdings Inc. MarketAxess Holdings Inc uses this network to reach out to its customers by ensuring that products are available on all of its outlets. Therefore, these resources prove to be a source of sustained competitive advantage for MarketAxess Holdings Inc.
From the VRIO Analysis of MarketAxess Holdings Inc, it was identified that the financial resources and distribution network provide a sustained competitive advantage. The patents are a source of unused competitive advantage. There exists a temporary competitive advantage for employees. There exists a competitive parity for local food products. Lastly, the cost structure of MarketAxess Holdings Inc is a competitive disadvantage. Research and Development is also a competitive disadvantage.
Warning! This article is only an example and cannot be used for research or reference purposes. If you need help with something similar, please submit your details here.
Luke Stroll
5.0
The writer was so patient that I asked him questions three times a day and he replied to me quickly. Highly and highly recommended!
Ella Sebastian
5.0
Very satisfied with the score that I achieved yesterday (BTW the appreciable is the writer of this service that supplied me a good paper). Billions of thanks!
Grayson Antoine
5.0
I’m fascinated with the performance of the writer. The structure and formation of the assignment was pretty marvelous. Thanks!
Jeng Meilin
4.0
Good & trustworthy source of completing the students’ assignments and I’m satisfied with what I got from here. Thanks!
Next Articles
- Marlin Business Services Corp. Vrio Analysis
- MasterCraft Boat Holdings, Inc. Vrio Analysis
- MB Financial Inc. Vrio Analysis
- MDJM LTD Vrio Analysis
- Medalist Diversified REIT, Inc. Vrio Analysis
- MeiraGTx Holdings Plc Vrio Analysis
- Melinta Therapeutics, Inc. Vrio Analysis
- Menlo Therapeutics Inc. Vrio Analysis
- Mercantil Bank Holding Corporation Vrio Analysis
- Meridian Corporation Vrio Analysis
Previous Articles
- Marker Therapeutics, Inc. Vrio Analysis
- Marine Petroleum Trust Vrio Analysis
- Managed Portfolio Series Vrio Analysis
- Maiden Holdings, Ltd. Vrio Analysis
- MagneGas Applied Technology Solutions, Inc. Vrio Analysis
- Magenta Therapeutics, Inc. Vrio Analysis
- Madrigal Pharmaceuticals, Inc. Vrio Analysis
- M B T Financial Corp Vrio Analysis
- Luther Burbank Corporation Vrio Analysis
- Luokung Technology Corp Vrio Analysis
Be a great writer or hire a greater one!
Academic writing has no room for errors and mistakes. If you have BIG dreams to score BIG, think out of the box and hire Case48 with BIG enough reputation.
Our Guarantees
Interesting Fact
Most recent surveys suggest that around 76 % students try professional academic writing services at least once in their lifetime!