VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT

Posted by Zachary Edwards on Mar-22-2018

The VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT will look at each of its internal resources one by one to assess whether these provide sustained competitive advantage. The PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT VRIO Analysis shows that the financial resources of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT are highly valuable as these help in investing into external opportunities that arise. These also help PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT in combating external threats.
• According to the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT, 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT VRIO Analysis shows that PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT'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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT's products.
• According to the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT, its patents are a valuable resource as these allow the firm to sell its products without competitive interference. This results in greater revenue for PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. These patents also provide PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT with licensing revenue when it licenses these patents out to other manufacturers.
• The PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT VRIO Analysis shows that PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT’s distribution network is a valuable resource. This helps it in reaching out to more and more customers. This ensures greater revenues for PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. It also ensures that promotion activities translate into sales as the products are easily available.
• According to the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT, 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT VRIO Analysis shows that the research and development at PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. It is recommended that the research and development teams are improved, and costs are cut for these.

Rare

• The financial resources of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT are found to be rare according to the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT and inhibit competitive advantage. This means that the local food products result in competitive parity for PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. As this resource is valuable, PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT can still make use of this resource.
• The employees of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT are a rare resource as identified by the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT are a rare resource as identified by the PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT VRIO Analysis. These patents are not easily available and are not possessed by competitors. This allows PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT to use them without interference from the competition.
• The distribution network of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT is a rare resource as identified by the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. This is because competitors would require a lot of investment and time to come up with a better distribution network than that of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. These are also possessed by very few firms in the industry.

Imitable

• The financial resources of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT are costly to imitate as identified by the PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT provide it with a temporary competitive advantage that competitors can too acquire in the long run.
• The employees of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT are also not costly to imitate as identified by the PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT VRIO Analysis. This is because other firms can also train their employees to improve their skills. These companies can also hire employees from PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT by offering better compensation packages, work environment, benefits, growth opportunities etc. This makes the employees of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT a resource that provides a temporary competitive advantage. Competition can acquire these in the future.
• The patents of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT are very difficult to imitate as identified by the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT is also very costly to imitate by competition as identified by the PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT VRIO Analysis. This has been developed over the years gradually by PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. Competitors would have to invest a significant amount if they are to imitate a similar distribution system.

Organisation

• The financial resources of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT are organised to capture value as identified by the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT.
• The Patents of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT are not well organised as identified by the PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT starts selling patented products before the patents expire.
• The distribution network of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT is organised as identified by the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT. PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT.

From the VRIO Analysis of PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT, 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 PUTTING SOCIAL MEDIA TO WORK AT COGNIZANT is a competitive disadvantage. Research and Development is also a competitive disadvantage.