VRIO Analysis of Ark Mines Limited
Posted by Zachary Edwards on Mar-22-2018
The VRIO Analysis of Ark Mines Limited will look at each of its internal resources one by one to assess whether these provide sustained competitive advantage. The Ark Mines 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 Ark Mines Limited VRIO Analysis shows that the financial resources of Ark Mines Limited are highly valuable as these help in investing into external opportunities that arise. These also help Ark Mines Limited in combating external threats.
- According to the VRIO Analysis of Ark Mines 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 Ark Mines Limited VRIO Analysis shows that Ark Mines 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 Ark Mines Limited's products.
- According to the VRIO Analysis of Ark Mines 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 Ark Mines Limited. These patents also provide Ark Mines Limited with licensing revenue when it licenses these patents out to other manufacturers.
- The Ark Mines Limited VRIO Analysis shows that Ark Mines Limited’s distribution network is a valuable resource. This helps it in reaching out to more and more customers. This ensures greater revenues for Ark Mines Limited. It also ensures that promotion activities translate into sales as the products are easily available.
- According to the VRIO Analysis of Ark Mines 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 Ark Mines Limited VRIO Analysis shows that the research and development at Ark Mines 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 Ark Mines Limited. It is recommended that the research and development teams are improved, and costs are cut for these.
Rare
- The financial resources of Ark Mines Limited are found to be rare according to the VRIO Analysis of Ark Mines 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 Ark Mines 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 Ark Mines Limited and inhibit competitive advantage. This means that the local food products result in competitive parity for Ark Mines Limited. As this resource is valuable, Ark Mines Limited can still make use of this resource.
- The employees of Ark Mines Limited are a rare resource as identified by the VRIO Analysis of Ark Mines 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 Ark Mines Limited are a rare resource as identified by the Ark Mines Limited VRIO Analysis. These patents are not easily available and are not possessed by competitors. This allows Ark Mines Limited to use them without interference from the competition.
- The distribution network of Ark Mines Limited is a rare resource as identified by the VRIO Analysis of Ark Mines Limited. This is because competitors would require a lot of investment and time to come up with a better distribution network than that of Ark Mines Limited. These are also possessed by very few firms in the industry.
Imitable
- The financial resources of Ark Mines Limited are costly to imitate as identified by the Ark Mines 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 Ark Mines 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 Ark Mines Limited provide it with a temporary competitive advantage that competitors can too acquire in the long run.
- The employees of Ark Mines Limited are also not costly to imitate as identified by the Ark Mines Limited VRIO Analysis. This is because other firms can also train their employees to improve their skills. These companies can also hire employees from Ark Mines Limited by offering better compensation packages, work environment, benefits, growth opportunities etc. This makes the employees of Ark Mines Limited a resource that provides a temporary competitive advantage. Competition can acquire these in the future.
- The patents of Ark Mines Limited are very difficult to imitate as identified by the VRIO Analysis of Ark Mines 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 Ark Mines Limited is also very costly to imitate by competition as identified by the Ark Mines Limited VRIO Analysis. This has been developed over the years gradually by Ark Mines Limited. Competitors would have to invest a significant amount if they are to imitate a similar distribution system.
Organisation
- The financial resources of Ark Mines Limited are organised to capture value as identified by the VRIO Analysis of Ark Mines 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 Ark Mines Limited.
- The Patents of Ark Mines Limited are not well organised as identified by the Ark Mines 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 Ark Mines Limited starts selling patented products before the patents expire.
- The distribution network of Ark Mines Limited is organised as identified by the VRIO Analysis of Ark Mines Limited. Ark Mines 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 Ark Mines Limited.
From the VRIO Analysis of Ark Mines 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 Ark Mines 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.
Nikita Joseph
5.0
The discounts are worth to be valued because of the fact that they made me the permanent client of this service.
Nish Jordan
5.0
Everything was not going on the plan; that’s why I have to appoint this service. It was proved very beneficial for me because the prices were very affordable.
Linh Vu
5.0
They replied timely and every point was clear in the paper. I got the highest scores in my friend circle. Thanks!
Hsin Shao
5.0
Every paper was perfectly written by this service. I'm very grateful to the expert!
Next Articles
- Arrium Limited Vrio Analysis
- Arrowhead Resources Limited Vrio Analysis
- Artemis Resources Limited Vrio Analysis
- Aruma Resources Limited Vrio Analysis
- Asaplus Resources Limited Vrio Analysis
- Aspire Mining Limited Vrio Analysis
- Astro Resources Nl Vrio Analysis
- Astron Corporation Limited Vrio Analysis
- Atc Alloys Ltd Vrio Analysis
- Athena Resources Limited Vrio Analysis
Previous Articles
- Argosy Minerals Limited Vrio Analysis
- Argonaut Resources Nl Vrio Analysis
- Argo Exploration Limited Vrio Analysis
- Argent Minerals Limited Vrio Analysis
- Ardiden Ltd Vrio Analysis
- Ardea Resources Limited Vrio Analysis
- Archer Exploration Limited Vrio Analysis
- Arc Exploration Limited Vrio Analysis
- Arafura Resources Limited Vrio Analysis
- Apollo Minerals 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!