(a) Definition of Business. (one paragraph)
First, provide a definition of the business of the company in the first paragraph succinctly. Be sure to name the business of the company, major business segments, and geography.
(b) VRIO Analysis. (three paragraphs)
Second, use Barney’s VRIO framework to uncover a firm’s key weaknesses, strengths, distinctive competencies, and sustainable distinctive competencies. Again the critical part is not to identify but to analyze and synthesize. As you write this section, think of top three key strengths, weaknesses, distinctive competencies or sustainable distinctive competencies (S/W/DC/SDC).
Write one paragraph on each of them, clearly revealing whether the selected resource/capability is valuable, rare, and inimitable and WHY? Be sure to give the rationale in the text (not in the exhibit). Also, address whether the firm has the organization (structure) and complementary resources to take advantage of the resource/capability being discussed in the paragraph. Also be sure to mention whether the resource/capability is a weakness, strength, distinctive competence, or sustainable distinctive competence.
In the past, we have seen some students name three S/W/DC/SDCs in one paragraph. Then, in the second paragraph, they evaluate whether or not each of them is valuable. After that, in the third paragraph, they go on to analyze whether they are rare. Over the years, we have found that the “bunched up” format is more confusing for the reader. Therefore, it is better to focus on one S/W/DC/SDC in each paragraph.