VRIO Analysis of JinkoSolar Holding Company Limited
Posted by Zachary Edwards on Mar-22-2018
The VRIO Analysis of JinkoSolar Holding Company Limited will look at each of its internal resources one by one to assess whether these provide sustained competitive advantage. The JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited VRIO Analysis shows that the financial resources of JinkoSolar Holding Company Limited are highly valuable as these help in investing into external opportunities that arise. These also help JinkoSolar Holding Company Limited in combating external threats.
- According to the VRIO Analysis of JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited VRIO Analysis shows that JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited's products.
- According to the VRIO Analysis of JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited. These patents also provide JinkoSolar Holding Company Limited with licensing revenue when it licenses these patents out to other manufacturers.
- The JinkoSolar Holding Company Limited VRIO Analysis shows that JinkoSolar Holding Company Limited’s distribution network is a valuable resource. This helps it in reaching out to more and more customers. This ensures greater revenues for JinkoSolar Holding Company Limited. It also ensures that promotion activities translate into sales as the products are easily available.
- According to the VRIO Analysis of JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited VRIO Analysis shows that the research and development at JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited. It is recommended that the research and development teams are improved, and costs are cut for these.
Rare
- The financial resources of JinkoSolar Holding Company Limited are found to be rare according to the VRIO Analysis of JinkoSolar Holding Company 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 JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited and inhibit competitive advantage. This means that the local food products result in competitive parity for JinkoSolar Holding Company Limited. As this resource is valuable, JinkoSolar Holding Company Limited can still make use of this resource.
- The employees of JinkoSolar Holding Company Limited are a rare resource as identified by the VRIO Analysis of JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited are a rare resource as identified by the JinkoSolar Holding Company Limited VRIO Analysis. These patents are not easily available and are not possessed by competitors. This allows JinkoSolar Holding Company Limited to use them without interference from the competition.
- The distribution network of JinkoSolar Holding Company Limited is a rare resource as identified by the VRIO Analysis of JinkoSolar Holding Company Limited. This is because competitors would require a lot of investment and time to come up with a better distribution network than that of JinkoSolar Holding Company Limited. These are also possessed by very few firms in the industry.
Imitable
- The financial resources of JinkoSolar Holding Company Limited are costly to imitate as identified by the JinkoSolar Holding Company 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 JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited provide it with a temporary competitive advantage that competitors can too acquire in the long run.
- The employees of JinkoSolar Holding Company Limited are also not costly to imitate as identified by the JinkoSolar Holding Company Limited VRIO Analysis. This is because other firms can also train their employees to improve their skills. These companies can also hire employees from JinkoSolar Holding Company Limited by offering better compensation packages, work environment, benefits, growth opportunities etc. This makes the employees of JinkoSolar Holding Company Limited a resource that provides a temporary competitive advantage. Competition can acquire these in the future.
- The patents of JinkoSolar Holding Company Limited are very difficult to imitate as identified by the VRIO Analysis of JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited is also very costly to imitate by competition as identified by the JinkoSolar Holding Company Limited VRIO Analysis. This has been developed over the years gradually by JinkoSolar Holding Company Limited. Competitors would have to invest a significant amount if they are to imitate a similar distribution system.
Organisation
- The financial resources of JinkoSolar Holding Company Limited are organised to capture value as identified by the VRIO Analysis of JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited.
- The Patents of JinkoSolar Holding Company Limited are not well organised as identified by the JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited starts selling patented products before the patents expire.
- The distribution network of JinkoSolar Holding Company Limited is organised as identified by the VRIO Analysis of JinkoSolar Holding Company Limited. JinkoSolar Holding Company 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 JinkoSolar Holding Company Limited.
From the VRIO Analysis of JinkoSolar Holding Company 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 JinkoSolar Holding Company 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.
Kevin Mofi
5.0
When I submitted the assignment on time and the fellows were late, the professor got impressed and complimented the paper and gave me 92% marks.
Crystal Deng
5.0
My thesis was approved without any correction. I am really thankful to these guys! Highly recommended service!
Andy Steven
5.0
When I searched for many services from Google. I critically analysed all of them and found this one the most suitable. Millions of thanks for a good paper!
Dorottya Ferenc
5.0
I’m pleased with the scores. The assignment was really perfectly and quickly completed. Thank you!
Next Articles
- JMP Group LLC Vrio Analysis
- John Hancock Financial Opportunities Fund Vrio Analysis
- John Hancock Hedged Equity & Income Fund Vrio Analysis
- John Hancock Income Securities Trust Vrio Analysis
- John Hancock Investors Trust Vrio Analysis
- John Hancock Pfd Income Fund II Vrio Analysis
- John Hancock Preferred Income Fund Vrio Analysis
- John Hancock Preferred Income Fund III Vrio Analysis
- John Hancock Premium Dividend Fund Vrio Analysis
- John Hancock Tax Advantaged Dividend Income Fund Vrio Analysis
Previous Articles
- Jianpu Technology Inc. Vrio Analysis
- Jernigan Capital, Inc. Vrio Analysis
- Jefferies Financial Group Inc. Vrio Analysis
- JBG SMITH Properties Vrio Analysis
- Japan Smaller Capitalization Fund Inc Vrio Analysis
- Janus Henderson Small/Mid Cap Growth Alpha ETF Vrio Analysis
- Janus Henderson Small Cap Growth Alpha ETF Vrio Analysis
- Jaguar Health, Inc. Vrio Analysis
- Jabil Inc. Vrio Analysis
- J.M. Smucker Company 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!