The resource-based view (RBV) is a model that shows resources as key to superior company performance. If a resource shows Value, Rareness, Imitability, Organization (VRIO) attributes, the resource enables the firm to gain and sustain competitive advantage. The Resource-Based View (RBV) is an economic tool used to regulate the strategic resources available to a firm. These resources can be exploited by the firm in order to achieve sustainable competitive advantage. Barney (1991) described this theory, although it was Wernerfelt (1984) who make it known to the world the concept of resource position barriers being roughly analogous to entry barriers in the positioning school (see Porter, 1980).
MARKETING STRATEGY Problem one: Solution Creating a competitive advantage strategy the company could gain marketplace over ETI competitors. Recommendation Gain competitive advantage: Define ETI’s mission in the marketplace, in a highly competitive market as manufacture, the company can gain competitive advantage by differentiating them from their competitors, trough products, price, operation and customer service. Determine the customer base, identifying their needs and having a good feedback will help to create a competitive advantage. Market Development: Expanding the market, through the new sales force making a geographic segmentation to catch a new user of ETI products. Having new user for the product the company can gain new customers
To begin with, a firm’s most direct way to communicate to their customers is through marketing actions. In today’s fast paced world, firms that are able to come up with a successful “fresh” marketing story could gain a competitive edge and increase their market share, namely enlarge their customer base. A large body of studies have documented and empirically analyze the importance and the relation between marketing effort and a firm’s financial performance. Srinivasan and Hanssen (Shuba Srinivasan, 2008) examined the impact of marketing actions on firm valuation. Thus, unexpected stock-return movement could be the results from marketing activity like changes in marketing strategy, new product introductions, advertising and other marketing
As a key driver of economic development, innovation plays a pivotal role in competition at both firm and the national levels (Tellis, Prabhu, & Chandy, 2009); and considering the organizations’ dynamic and complex conditions in the face of global competition, organizations’ need to innovate becomes continually stronger (Tellis et al., 2009). According to previous literature, there is a positive link between innovation and a range of desired performance outcomes (Garcia-Morales, Matías-Reche, & Verdu-Jover, 2011). Therefore, empirical studies have thrown new light on innovation. The major part of this study focuses on manufacturing firms and literature seems to reveal lack of empirical studies with reference to supporting innovation in service firms that deliver high “value added” services. One proposition is that organizational culture is a key player that encourage processes supporting innovation (Tellis et al., 2009); and this view is more relevant in the context of professional service firms.
This method could benefit Pioneer by providing them with ample time to understand the market, assess the demand in the newer region and develop relationships. Role of Linear Programming There are several constraints involved in the decision making involved at Pioneer, Linear programming aims at categorizing the available data with the constraints and provide solutions to gain highest profit. In the current scenario, the two major concerns that affect the profitability of the company are over production and overseas production (Chopra, S et al., (2012) . In the LP model for the current scenario, the below can be used as
This concept was used by these researchers Spanos & Lioukas to illustrate that there exist a complementarity between these two perspectives. In their illustration, they divided the SWOT analysis components into two separate components one representing the market driven perspective which covers the opportunities and the threats analysis, while the other component represents the resource-based perspective and covers the analysis of the strengths and weaknesses sections in the SWOT (Spanos & Lioukas, 2001). Their purpose is to determining the relative impact industry and the firm specific factors such as; resources, industry forces, strategy, and firm performance, has on the market performance and also of profitability. The result from this SWOT analysis, illustrates the complementarity between Porter’s market driven strategy and the resource-based perspectives in three different relationships. Firstly, the two perspectives complement one another when we consider the strategy effects.
In other words, Feasibility Analysis assesses the viability of initiating a new value added activity and decide whether the business idea should be started or not. C) What is the effect of the culture in the project? Culture can affect project and its success in many ways. Firstly, culture affects the way in which different departments within the organization interact and support each other in achieving project goals. In other words, the more the organizational culture favor active cooperation between departments, the more the probability of the project's success.
Based on the theory and findings from cases studies, it shows that Supply Positioning and Supplier Preferencing are powerful and dynamic market analysis tools in development a robust sourcing strategy. The study has revealed that these tools should be used in practice; as we could identify our position better and recognize the opportunities to leverage buying power that can bring different “game” structure, which will deliver significant profit improvements and cost savings. It also improves operational performance; provide better management and oversight of suppliers, while improving relationships with internal and external stakeholders. The outcomes of the analysis enable us to consider the degree of specific courses action in developing
In this scenario, the Supply Chain Management theory has been established to deal with new challenges. One of the main purposes of Supply Chain Management is to integrate the businesses processes through the value chain within and across company’s boarders. However, due to high costs of building up and maintaining strategic partnerships with the suppliers, company tries to allocate their resources in a best possible way through their supply chain. The motive behind building up the close relationships with a small number of key suppliers, which hold high technological and add-value know –how and resources to maintain strong relationships with the others. Indeed, the topic of buyer-supplier relationship is relatively new in business economics.
Business sophistication concerns two elements that are involved: the quality of a country’s overall business networks and the quality of individual firms’ operations and strategies. These factors are particularly important for countries at an advanced stage of development, when, to a large extent, the more basic sources of productivity improvements have been exhausted. The quality of a country’s business networks and supporting industries, as measured by the quantity and quality of local suppliers and the extent of their interaction, is important for a variety of reasons. When companies and suppliers from a particular sector are interconnected efficiency is heightened, greater chances for innovation in processes and products are created, and barriers to entry for new firms are reduced. Individual firms’ advanced operations and strategies like branding, marketing, distribution, advanced production processes, and the production of unique and sophisticated products spill over into the economy and lead to sophisticated and modern business processes across the country’s business sectors.