CHAPTER 5:
Resource-Based Analysis
ORGANISATIONAL RESOURCES
Financial resources
Human resources
Physical resources (inventory & buildings/factories)
Technological resources
Knowledge assets (how things are done. Tacit knowledge, sometimes becomes automatic)
Information resources (data acquired, stored & used)
Marketing Resources (Brand reputation, stakeholder relationships (suppliers, customers), distribution channels and
promotional mix)
*VIRO ANALYSIS
Strategic resources fulfil the conditions of VIRO (resource based view):
Value: determined by selling price, production cost, quality differentiation
Imitability: if resources are difficult to imitate, an organisation might gain a temporary competitive advantage
Rarity: if resources are rare and thus only one or a few organisations are in possession of, or have access to
these resources, a competitive advantage is guaranteed.
Organisation: organisation must be good at packaging to deliver all of the dimensions (Core competencies)
VIRO Analysis: examines the core competencies that result in an organisation having a competitive
advantage.
A competitive advantage is supported in the following 3 key points
(1) A complex interplay of marketing resources makes the identification and imitation of individual
resources and resources mixes difficult
(2) Strength of resources that are difficult and time-consuming to imitate
(3) Reputation and routine of use or purchase help to position and hold a position in today’s markets.
VALUE CREATION
Customer intimacy: know what
your customers want
Operational excellence: when a
product works exceptionally well.
, RESROUCE-BASED VIEW
RBV: is a managerial approach that focuses
on detection and combination of strategic
resources in order to gain a competitive
advantage
VIRO Analysis: internally evaluates the resources & capabilities of the organization.
Heterogenous: resources for each organization are different
Immobile: resources cannot be transferred from one organisation to another in the short term
OPTIMAL UTILISATION OF MARKETING RESOURCES
An optimal utilisation of marketing resources takes the following into account:
Marketing assets Internal Marketing Foundation
Resources: marketing strategies that
improve the standpoint of the organisation
financially, structurally and internally (e.g.,
cost advantage, corporate culture)
Knowledge based assets: build of
intellectual resources and enfold the entire
knowledge of the organisation and its
workforce
Market based Assets: focus on market specific properties, customer relationships and
distribution channels e.g., country of origin
Supply chain assets: focus on the optimization of distribution channels
Marketing capabilities Marketing Capabilities: are the point of
using marketing assets (knowledge, skills and
resources) successfully in the marketplace.
Implementation, execution or activation
capabilities
Dynamic marketing Dynamic Marketing Capabilities: focus on creating new marketing resources for the
capabilities organisation
The new marketing resources help to identify, responds to and exploit marketing changes
(1) Sensing capability (absorptive) (PESTLE)
, (2) Capturing capability/adaptive capabilities: doing things differently in response to
market changes (key tenets include market targeting, positioning and establishing
relationships)
(3) Realisation capability (innovative marketing): innovation of products/services
RESOURCE PORTFOLIO
Resource-Based Analysis
ORGANISATIONAL RESOURCES
Financial resources
Human resources
Physical resources (inventory & buildings/factories)
Technological resources
Knowledge assets (how things are done. Tacit knowledge, sometimes becomes automatic)
Information resources (data acquired, stored & used)
Marketing Resources (Brand reputation, stakeholder relationships (suppliers, customers), distribution channels and
promotional mix)
*VIRO ANALYSIS
Strategic resources fulfil the conditions of VIRO (resource based view):
Value: determined by selling price, production cost, quality differentiation
Imitability: if resources are difficult to imitate, an organisation might gain a temporary competitive advantage
Rarity: if resources are rare and thus only one or a few organisations are in possession of, or have access to
these resources, a competitive advantage is guaranteed.
Organisation: organisation must be good at packaging to deliver all of the dimensions (Core competencies)
VIRO Analysis: examines the core competencies that result in an organisation having a competitive
advantage.
A competitive advantage is supported in the following 3 key points
(1) A complex interplay of marketing resources makes the identification and imitation of individual
resources and resources mixes difficult
(2) Strength of resources that are difficult and time-consuming to imitate
(3) Reputation and routine of use or purchase help to position and hold a position in today’s markets.
VALUE CREATION
Customer intimacy: know what
your customers want
Operational excellence: when a
product works exceptionally well.
, RESROUCE-BASED VIEW
RBV: is a managerial approach that focuses
on detection and combination of strategic
resources in order to gain a competitive
advantage
VIRO Analysis: internally evaluates the resources & capabilities of the organization.
Heterogenous: resources for each organization are different
Immobile: resources cannot be transferred from one organisation to another in the short term
OPTIMAL UTILISATION OF MARKETING RESOURCES
An optimal utilisation of marketing resources takes the following into account:
Marketing assets Internal Marketing Foundation
Resources: marketing strategies that
improve the standpoint of the organisation
financially, structurally and internally (e.g.,
cost advantage, corporate culture)
Knowledge based assets: build of
intellectual resources and enfold the entire
knowledge of the organisation and its
workforce
Market based Assets: focus on market specific properties, customer relationships and
distribution channels e.g., country of origin
Supply chain assets: focus on the optimization of distribution channels
Marketing capabilities Marketing Capabilities: are the point of
using marketing assets (knowledge, skills and
resources) successfully in the marketplace.
Implementation, execution or activation
capabilities
Dynamic marketing Dynamic Marketing Capabilities: focus on creating new marketing resources for the
capabilities organisation
The new marketing resources help to identify, responds to and exploit marketing changes
(1) Sensing capability (absorptive) (PESTLE)
, (2) Capturing capability/adaptive capabilities: doing things differently in response to
market changes (key tenets include market targeting, positioning and establishing
relationships)
(3) Realisation capability (innovative marketing): innovation of products/services
RESOURCE PORTFOLIO
