VRIO Analysis of Altura Mining Limited
Posted by Zachary Edwards on Mar-22-2018
The VRIO Analysis of Altura Mining Limited will look at each of its internal resources one by one to assess whether these provide sustained competitive advantage. The Altura Mining 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 Altura Mining Limited VRIO Analysis shows that the financial resources of Altura Mining Limited are highly valuable as these help in investing into external opportunities that arise. These also help Altura Mining Limited in combating external threats.
- According to the VRIO Analysis of Altura Mining 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 Altura Mining Limited VRIO Analysis shows that Altura Mining 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 Altura Mining Limited's products.
- According to the VRIO Analysis of Altura Mining 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 Altura Mining Limited. These patents also provide Altura Mining Limited with licensing revenue when it licenses these patents out to other manufacturers.
- The Altura Mining Limited VRIO Analysis shows that Altura Mining Limited’s distribution network is a valuable resource. This helps it in reaching out to more and more customers. This ensures greater revenues for Altura Mining Limited. It also ensures that promotion activities translate into sales as the products are easily available.
- According to the VRIO Analysis of Altura Mining 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 Altura Mining Limited VRIO Analysis shows that the research and development at Altura Mining 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 Altura Mining Limited. It is recommended that the research and development teams are improved, and costs are cut for these.
Rare
- The financial resources of Altura Mining Limited are found to be rare according to the VRIO Analysis of Altura Mining 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 Altura Mining 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 Altura Mining Limited and inhibit competitive advantage. This means that the local food products result in competitive parity for Altura Mining Limited. As this resource is valuable, Altura Mining Limited can still make use of this resource.
- The employees of Altura Mining Limited are a rare resource as identified by the VRIO Analysis of Altura Mining 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 Altura Mining Limited are a rare resource as identified by the Altura Mining Limited VRIO Analysis. These patents are not easily available and are not possessed by competitors. This allows Altura Mining Limited to use them without interference from the competition.
- The distribution network of Altura Mining Limited is a rare resource as identified by the VRIO Analysis of Altura Mining Limited. This is because competitors would require a lot of investment and time to come up with a better distribution network than that of Altura Mining Limited. These are also possessed by very few firms in the industry.
Imitable
- The financial resources of Altura Mining Limited are costly to imitate as identified by the Altura Mining 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 Altura Mining 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 Altura Mining Limited provide it with a temporary competitive advantage that competitors can too acquire in the long run.
- The employees of Altura Mining Limited are also not costly to imitate as identified by the Altura Mining Limited VRIO Analysis. This is because other firms can also train their employees to improve their skills. These companies can also hire employees from Altura Mining Limited by offering better compensation packages, work environment, benefits, growth opportunities etc. This makes the employees of Altura Mining Limited a resource that provides a temporary competitive advantage. Competition can acquire these in the future.
- The patents of Altura Mining Limited are very difficult to imitate as identified by the VRIO Analysis of Altura Mining 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 Altura Mining Limited is also very costly to imitate by competition as identified by the Altura Mining Limited VRIO Analysis. This has been developed over the years gradually by Altura Mining Limited. Competitors would have to invest a significant amount if they are to imitate a similar distribution system.
Organisation
- The financial resources of Altura Mining Limited are organised to capture value as identified by the VRIO Analysis of Altura Mining 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 Altura Mining Limited.
- The Patents of Altura Mining Limited are not well organised as identified by the Altura Mining 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 Altura Mining Limited starts selling patented products before the patents expire.
- The distribution network of Altura Mining Limited is organised as identified by the VRIO Analysis of Altura Mining Limited. Altura Mining 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 Altura Mining Limited.
From the VRIO Analysis of Altura Mining 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 Altura Mining 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.
Austin Simon
5.0
I tried my best to write my paper by individual effort but finally, I trusted on this service and delivered the document to them. I didn’t find any problems neither in order system nor in my work. Thanks!
Leo Adam
5.0
I appoint this service once per week as per the fact that coursework is not getting handled by me.
Spencer Hudson
5.0
It was the first time to get help from this service and after the completion of the paper, I love this organization. Thanks!
Evan Mahddi
4.0
No hassle and no stress during the assistance of this service due to this reason I would like to suggest this service to my friends.
Next Articles
- Alumina Limited Vrio Analysis
- Amani Gold Limited Vrio Analysis
- Amcor Limited Vrio Analysis
- Anchor Resources Limited Vrio Analysis
- Andromeda Metals Limited Vrio Analysis
- Aneka Tambang (Persero) Tbk (Pt) Vrio Analysis
- Anglo Australian Resources Nl Vrio Analysis
- Anglogold Ashanti Limited Vrio Analysis
- Anova Metals Limited Vrio Analysis
- Anson Resources Limited Vrio Analysis
Previous Articles
- Altona Mining Limited Vrio Analysis
- Altech Chemicals Ltd Vrio Analysis
- Alt Resources Limited Vrio Analysis
- Alloy Resources Limited Vrio Analysis
- Alliance Resources Limited Vrio Analysis
- Alkane Resources Limited Vrio Analysis
- Alicanto Minerals Limited Vrio Analysis
- Alexium International Group Limited Vrio Analysis
- Alderan Resources Limited Vrio Analysis
- Alchemy Resources Limited 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!