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Nextel Partners Put Option Case VRIO Analysis


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Nextel Partners Put Option Case Study Solution

Numerous areas can be determined where FG has an one-upmanship over its rivals. These locations would certainly be assessed making use of the Nextel Partners Put Option VIRO structure where the 'value', 'inimitability', 'rarity' as well as company' of FG would be reviewed in regards to its contribution in the direction of its competitive edge. The framework has been presented in appendix 3.

It can be seen that FG is providing a value-added product, which is not just a way of acquiring high margins for the business, yet is important for the consumer as well. Smoked seafood products are looked upon as value-added products and so FG is certainly offering value to the market as well as to the entrepreneur in the kind of high conserving potential from fish products. Also, FG's capacity to generate original Oriental inspired smoked fish and shellfish items can be taken into consideration a supreme skill.

Business has actually placed obstacles to entry for new participants by motivating clients to be demanding in terms of asking for their choices. Not only has this made the service unusual, it has boosted the expense of access for specific niche gamers since FG's diversification and flexibility can not be matched by new entrants in the short run. This highlights an additional factor of inimitability.

The reality that business is not product-orientated yet is a market-orientated organisation which is flexible sufficient in its capacity to get used to dynamic market situations suggests that its method of arranging services is definitely its one-upmanship. In addition to this, the business is organized so that it has less dependence on importers as well as trading companies which includes in its competitive edge as an organization in a market where smoked fish items have to be imported from other countries.

Along with these factors, FG's long term relationships with its customer that has actually resulted in brand name commitment from their side as well as the former's constant support of quality assurance to preserve this brandloyalty is an additional factor providing it an one-upmanship.

Based on the Nextel Partners Put Option VIRO structure, if a firm's resources are beneficial but can be mimicked conveniently, it might have a momentary affordable benefit. Nevertheless, a sustained competitive advantage would certainly arise from sources which are beneficial, rare as well as pricey to copy while at the exact same time the company has the capability to organize these for an optimum advantage (Rothaermel, 2013). In FG's case, it can be seen just how a sustained competitive advantage is possible with the company's adaptability, market-orientated strategy, endured long-termrelationships and also innovative abilities of the entrepreneur. These factors have actually currently been reviewed in the Nextel Partners Put Option SWOT analysis as internal strengths.