Order custom Harvard Business Case Study Analysis & Solution. Starting just $19
Fern Fort University
Varian Medical Systems VRIO / VRIN Analysis | Assignment Help
What is VRIO / VRIN Analysis ?
VRIO stands for – Value of the resource, Rareness of the resource, Imitation Risk, and Organizational Competence.
VRIO is a resource focused strategic analysis tool.
To build a sustainable competitive advantage the resources that –casename— needs to be valuable, rare, and difficult to imitate. Secondly the –casename— needs to possess capabilities, organizational structure, and culture to optimize the available resources usage. VRIO analysis can help organizations such as Varian Medical Systems to do better resource allocation and build a defensible value and supply chain.
Order a Varian Medical Systems VRIO / VRIN Analysis now
What is a Valuable Resource for Varian Medical Systems? Defining Valuable in VRIO
A resource or capability is considered valuable for Varian Medical Systems , if it allows the
Varian Medical Systems to exploit opportunities or negate threats
emerging out of both the micro business environment and the macro environment. If a resource does not allow Varian Medical Systems to minimize threats or exploit opportunities, than it doesn't contribute signficantly to building a sustainable competitive advantage for Varian Medical Systems.
What are Rare Resources for Varian Medical Systems? Defining Rare in VRIO
In an industry that Varian Medical Systems operates in, valuable resources are held by number of competitors. So valuable resources themselves don’t provide a sustainable competitive advantage. Varian Medical Systems require rare resources to compete in the industry. If Varian Medical Systems don’t have rare resources that are required to succeed in the industry then Varian Medical Systems won’t be able to compete successfully in the marketplace. Secondly holding rare resources can provide Varian Medical Systems competitive advantage against players that don’t have those rare resources. HBR Case Study Solution
What is a Inimitable (Difficult to Immitate) Resource for Varian Medical Systems? Defining Inimitable in VRIO
A valuable and rare resource can provide a competitive advantage to Varian Medical Systems for certain period of time as all the competitors are going to try to imitate or replicate that resource. A sustained competitive advantage emerges, if the resource is difficult to imitate by the competitors. Varian Medical Systems can create inmitability by innovating on the product side, reducing pain points on service delivery, and having an effective post sales servicing strategy.
Check out the SWOT analysis of Varian Medical Systems
What is a Organization for Varian Medical Systems? Defining Organization in VRIO
Even if the Varian Medical Systems has all the valuable resources that are both rare and difficult to imitate, it won’t automatically result into a sustainable competitive advantage. The key to build the sustainable competitive advantage is to have organizational capabilities, expertise, and structure to exploit the resources. If Varian Medical Systems is not organized based on its strengths then it won’t able to exploit all the resources that it possesses.
Resources | Value | Rare | Imitation | Organization | Competitive Advantage |
---|---|---|---|---|---|
Product Portfolio and Synergy among Various Product Lines of Varian Medical Systems | Yes, it is valuable in the industry given the various segmentations & consumer preferences. | Most of the competitors are trying to enter the lucrative segments | Can be imitated by the competitors | The firm has used it to good effect, details can be found in case exhibit | Provide short term competitive advantage but requires constant innovation to sustain |
Opportunities for Brand Extensions for Varian Medical Systems products | Yes, new niches are emerging in the market | No, as most of the competitors are also targeting those niches | Yes can be imitated by the competitors | Brand extensions will require higher marketing budget | Temporary Competitive Advantage |
Track Record of Project Execution | Yes, especially in an industry where there are frequent cost overun | Yes, especially in the segment that Varian Medical Systems operates in | No, none of the competitors so far has able to imitate this expertise | Yes, Varian Medical Systems is successful at it | Providing Strong Competitive Advantage |
Access to Cheap Capital for Varian Medical Systems | Yes, as a leading player in the industry and current macro economic conditions, Varian Medical Systems has access to cheap capital | No | Can be imitated by the competitors of Varian Medical Systems | Not been totally exploited | Not significant in creating competitive advantage |
Financial Resources of Varian Medical Systems | Yes | No | Financial instruments and market liquidity are available to all the nearest competitors | Varian Medical Systems has reasonably sound financial position | Varian Medical Systems has relatively sustainable Competitive Advantage |
Talent to Manage Regulatory and Legal Obligations | Yes | No | Can be imitated by competitors | Yes | Not critical factor |
Ability to Attract Talent in Various Local & Global Markets | Yes, Varian Medical Systems strategy is built on successful innovation and localization of products | Yes, as talent is critical to firm's growth | Difficult to imitate for the current competitors of Varian Medical Systems | To a large extent yes | Providing Strong Competitive Advantage |
Position among Retailers and Wholesalers – Varian Medical Systems retail strategy | Yes, Varian Medical Systems has strong relationship with retailers and wholesalers | Yes, Varian Medical Systems has dedicated channel partners | Difficult to imitate though not impossible | Yes, over the years company has used it successfully | Sustainable Competitive Advantage |
Access to Critical Raw Material for Successful Execution | Yes | Yes, as other competitors have to come to terms with Varian Medical Systems dominant market position | Can be imitated by competitors | Yes | Providing Sustainable Competitive Advantage |
Opportunities in the Adjacent Industries that Varian Medical Systems can exploit & New Resources Required to Enter those Industries | Can be valuable as they will create new revenue streams | No | Can be imitated by competitors | All the capabilities of the organization are not fully utilized yet | Has potential |
Brand Positioning of Varian Medical Systems in Comparison to the Competitors | Yes | No | Can be imitated by competitors but it will require big marketing budget | Yes, the firm has positioned its brands based on consumer behavior | Temporary Competitive Advantage |
Global and Local Presence of Varian Medical Systems | Yes, as it diversify the revenue streams and isolate company's balance sheet from economic cycles | Yes | Can be imitated by competitors of Varian Medical Systems but at a relatively high cost | Yes, it is one of the most diversified companies in its industry | Providing Strong Competitive Advantage |
Alignment of Activities with Varian Medical Systems Corporate Strategy | Yes | No | Each of the firm has its own strategy | Yes, company has organizational skills to extract the maximum out of it. | Still lots of potential to build on it |
Customer Community of Varian Medical Systems | Yes, as customers are co-creating products | Yes, the Varian Medical Systems has able to build a special relationship with its customers | It is very difficult for Varian Medical Systems competitors to imitate the culture and community dedication | Going by the data, there is still a lot of upside in building on Varian Medical Systems customers community ecosystem | Providing Strong Competitive Advantage |
Varian Medical Systems SWOT Analysis, SWOT Matrix, Weighted SWOT Case Study Solution & Analysis
Books and References
Ahir Gopaldas and Anton Siebert (2022 July August) "What You’re Getting Wrong About Customer Journeys",
Harvard Business Review , 92
Linda A. Hill, Emily Tedards, and Taran Swan (2021) "Drive Innovation with Better Decision-Making", Harvard Business Review 86
Dyer, J. H., & Hatch, N. (2004). Using Supplier Networks to Learn Faster. Sloan Management Review, 45(3), 57–63
Barney, J. B. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17, 99–120
Dyer, J. H., Kale, P., & Singh, H. (2004, July–August). When to ally and when to acquire. Harvard Business Review, 109–115
MBA Admission help, MBA Assignment Help, MBA Case Study Help, Online Analytics Live Classes
Order Now
Previous VRIO / VRIN Analysis
- Time VRIO / VRIN Analysis
- Consol Energy VRIO / VRIN Analysis
- Regal Entertainment Group VRIO / VRIN Analysis
- Southwestern Energy VRIO / VRIN Analysis
- Noble Energy VRIO / VRIN Analysis
Next 5 VRIO / VRIN Analysis
- SkyWest VRIO / VRIN Analysis
- BGC Partners VRIO / VRIN Analysis
- Puget Energy VRIO / VRIN Analysis
- H&R Block VRIO / VRIN Analysis
- Amerco VRIO / VRIN Analysis