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Does the firm have resources (tangible/intangible) or capabilities that give it a competitive advantage?
Microsoft is a company based in the US that manufactures and develops software products for the use of computers. Some of the software it develops includes; operating systems, server applications, business solution applications, information worker applications, high-performance computing applications, software development tools, and an MSN network that provides internet products and services (Lots of essays 2010). The company has strength in its operating system that is unique in the market; this provides a link between the computer and whoever uses it. It also ventures into the application software and multimedia market (Aaarkstores 2010).
VRISA analysis for the resources found in question 1. Which of the components of the VRISA analysis (value, rareness, imitability, sustainability, and appropriability) do you believe is the most critical to the competitive advantage for the firm you choose in question 1?
VRISA Analysis.
The most critical component for the company is sustainability. This is because the product is very unique hence there is not any means by which the company can diversify in order to sustain its earning from the market. The Company must stick to its uniqueness with the product so as to outdo the rest of the competitors (Lots of essays 2010).
Can any of the resources or capabilities in question 1 be extended to other markets? Why or Why not?
Yes, since the Microsoft operating system dominates the market, the consumers willing to purchase IBM PC based computers go for those that are within the Microsoft operating environment (Lots of essays 2010).
In general, which of the attributes of a resource (value, rareness, imitability, sustainability, and appropriability) do you believe is the most important? Why?
Appropriability, this is because, the financial strength of the company is what makes it favourable to investors. This also ensures that research and development is fully utilized towards innovating and creation of other new products within the same line. The financial stability also enables the company to venture into lucrative marketing that promotes the sale of its diversified products (Lots of essays 2010).
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