VRIO

VRIO is an acronym for the four question framework an analyst should ask about a resource or capability to determine its competitive potential: 1) a question of value, 2) a question of rarity, 3) aquestion of Imitability, e.g., ease/difficulty to imitate the capability, and 4) a question of Organization, e.g. an ability to exploit the resource or capability.

The Question of Value: "Is the firm able to exploit an opportunity or neutralize an external threat with the resource/capability?"

The Question of Rarity: "Is control of the resource/capability in the hands of a relative few?"

The Question of Imitability: "Is it difficult to imitate, and will there be significant cost disadvantage to a firm trying to obtain, develop, or duplicate the resource/capability?"

The Question of Organization: "Is the firm organized, ready, and able to exploit the resource/capability?"

Home | About Us | What's New

Copyright © 2004-15 by D. J. Power (see his home page). PlanningSkills.COM^sm is maintained by Alexander P. and Daniel J. Power. Please contact them at djpower1950@gmail.com with questions. See disclaimer and privacy statement. This page was last modified on December 8, 2015.

Web planningskills.com

Home \| About Us \| What's New
Copyright © 2004-15 by D. J. Power (see his home page). PlanningSkills.COM^sm is maintained by Alexander P. and Daniel J. Power. Please contact them at djpower1950@gmail.com with questions. See disclaimer and privacy statement. This page was last modified on December 8, 2015.