Vrio framework internal analysis built the vrio framework
VRIO Framework:
The internal analysis is built on the VRIO framework. VRIO stands for valuable, rare, inimitable, and organization. These four characteristics describe the resources and competencies that contribute to a competitive advantage that is sustainable. A VRIO template is provided below to assist describe Tesla, Inc.’s current position as of 2020. VRIO analysis is an analytical approach that aids in the evaluation of a business's core skills as well as elements that provide the organization a competitive edge. The company's VRIO analysis looks like this:
| Valuable | Rare | Inimitable | Organized | Competitive Advantage | |
|---|---|---|---|---|---|
| Superior Engineering & Design | Yes | Yes | Yes | No | Medium term competitive advantage |
| Financial Resources | Yes | No | No | No | Temporary competitive advantage |
| Customer network & Loyalty | Yes | Yes | Yes | Yes | Medium term competitive advantage |
| Internal work environment | Yes | Yes | No | No | Temporary competitive advantage |
| Technological Innovation | Yes | Yes | Yes | No | Unused competitive advantage |
| Intellectual Property | Yes | Yes | No | No | Temporary competitive advantage |
