VRIO Analysis of Apt Pipelines Limited
Posted by Zachary Edwards on Mar-22-2018
The VRIO Analysis of Apt Pipelines Limited will look at each of its internal resources one by one to assess whether these provide sustained competitive advantage. The Apt Pipelines Limited 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 Apt Pipelines Limited VRIO Analysis shows that the financial resources of Apt Pipelines Limited are highly valuable as these help in investing into external opportunities that arise. These also help Apt Pipelines Limited in combating external threats.
- According to the VRIO Analysis of Apt Pipelines Limited, 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 Apt Pipelines Limited VRIO Analysis shows that Apt Pipelines Limited'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 Apt Pipelines Limited's products.
- According to the VRIO Analysis of Apt Pipelines Limited, its patents are a valuable resource as these allow the firm to sell its products without competitive interference. This results in greater revenue for Apt Pipelines Limited. These patents also provide Apt Pipelines Limited with licensing revenue when it licenses these patents out to other manufacturers.
- The Apt Pipelines Limited VRIO Analysis shows that Apt Pipelines Limited’s distribution network is a valuable resource. This helps it in reaching out to more and more customers. This ensures greater revenues for Apt Pipelines Limited. It also ensures that promotion activities translate into sales as the products are easily available.
- According to the VRIO Analysis of Apt Pipelines Limited, 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 Apt Pipelines Limited VRIO Analysis shows that the research and development at Apt Pipelines Limited 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 Apt Pipelines Limited. It is recommended that the research and development teams are improved, and costs are cut for these.
Rare
- The financial resources of Apt Pipelines Limited are found to be rare according to the VRIO Analysis of Apt Pipelines Limited. 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 Apt Pipelines Limited 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 Apt Pipelines Limited and inhibit competitive advantage. This means that the local food products result in competitive parity for Apt Pipelines Limited. As this resource is valuable, Apt Pipelines Limited can still make use of this resource.
- The employees of Apt Pipelines Limited are a rare resource as identified by the VRIO Analysis of Apt Pipelines Limited. 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 Apt Pipelines Limited are a rare resource as identified by the Apt Pipelines Limited VRIO Analysis. These patents are not easily available and are not possessed by competitors. This allows Apt Pipelines Limited to use them without interference from the competition.
- The distribution network of Apt Pipelines Limited is a rare resource as identified by the VRIO Analysis of Apt Pipelines Limited. This is because competitors would require a lot of investment and time to come up with a better distribution network than that of Apt Pipelines Limited. These are also possessed by very few firms in the industry.
Imitable
- The financial resources of Apt Pipelines Limited are costly to imitate as identified by the Apt Pipelines Limited 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 Apt Pipelines Limited. 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 Apt Pipelines Limited provide it with a temporary competitive advantage that competitors can too acquire in the long run.
- The employees of Apt Pipelines Limited are also not costly to imitate as identified by the Apt Pipelines Limited VRIO Analysis. This is because other firms can also train their employees to improve their skills. These companies can also hire employees from Apt Pipelines Limited by offering better compensation packages, work environment, benefits, growth opportunities etc. This makes the employees of Apt Pipelines Limited a resource that provides a temporary competitive advantage. Competition can acquire these in the future.
- The patents of Apt Pipelines Limited are very difficult to imitate as identified by the VRIO Analysis of Apt Pipelines Limited. 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 Apt Pipelines Limited is also very costly to imitate by competition as identified by the Apt Pipelines Limited VRIO Analysis. This has been developed over the years gradually by Apt Pipelines Limited. Competitors would have to invest a significant amount if they are to imitate a similar distribution system.
Organisation
- The financial resources of Apt Pipelines Limited are organised to capture value as identified by the VRIO Analysis of Apt Pipelines Limited. 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 Apt Pipelines Limited.
- The Patents of Apt Pipelines Limited are not well organised as identified by the Apt Pipelines Limited 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 Apt Pipelines Limited starts selling patented products before the patents expire.
- The distribution network of Apt Pipelines Limited is organised as identified by the VRIO Analysis of Apt Pipelines Limited. Apt Pipelines Limited 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 Apt Pipelines Limited.
From the VRIO Analysis of Apt Pipelines Limited, 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 Apt Pipelines Limited 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.
Ethan Ryan
5.0
I think Entrepreneurship is the most boring subject and I don’t like to write any assignment on this. So, I take help from this service to clear up all the confusing topic. Never find any issue in assignments and hope to meet you people in exam!
Connor Luca
5.0
Thank you writer and truly indebted to the customer support. Thanks guysss!!!
Eva Abramo
5.0
This service delivered to me what it promised. Awesome customer service. Thanks!
Vadim Maxim
5.0
Thank you for your help as I received a timely paper. Thank you guys for kind assistance!
Next Articles
- Argo Investments Limited Vrio Analysis
- Arowana Australasian Value Opportunities Fund Limited Vrio Analysis
- Asian Development Bank Vrio Analysis
- Aurora Absolute Return Fund Vrio Analysis
- Aurora Dividend Income Trust (Managed Fund) Vrio Analysis
- Aurora Property Buy Write Income Trust Vrio Analysis
- Ausnet Services Holdings Pty Ltd Vrio Analysis
- Australian Commonwealth Government Loans Vrio Analysis
- Australian Enhanced Income Fund Vrio Analysis
- Australian Foundation Investment Company Limited Vrio Analysis
Previous Articles
- Apollo Series 2015 1 Trust Vrio Analysis
- Apollo Series 2013 1 Trust Vrio Analysis
- Apollo Series 2010 1 Trust Vrio Analysis
- Antipodes Global Investment Company Ltd Vrio Analysis
- Anglo American Capital Plc Vrio Analysis
- Alternative Investment Trust Vrio Analysis
- Acorn Capital Investment Fund Limited Vrio Analysis
- Absolute Equity Performance Fund Limited Vrio Analysis
- 8Ip Emerging Companies Limited Vrio Analysis
- 360 Capital Total Return Fund 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!