1. 1 Strategy: Wayne Smith, Ph.D. wayne.smith@csun.edu Department of Management Contemporary Business Examples Benefitting from “RBV” Analysis

2. RBV – Tangible and Intangible Resources In general, the Resource-Based View (RBV) helps with understanding the internal organizational landscape. Chief Assumption: An organization’s managers drive success in the marketplace. Within the RBV, we classify resources (assets) into “Tangible” and “Intangible”. Tangible –Financial –Physical –Technological –Organizational Intangible –Human –Innovation and Creativity –Reputation

3. RBV Analysis (usually, rate/compare to competition) 3 TangibleIntangible Marketable Products and Operational Processes FinPhyTechOrgHumanInnovRep … … …

4. Tangible: Financial

6. RBV - “VRIO” Analysis Within the RBV, we can use “VRIO” Analysis. Value –Is the product or process particularly valuable in some way? Rarity –Is the product or process particularly rare (i.e., in few hands)? Imitability –Is the product or process particularly hard to replicate? Organization –Is there organizational capacity available to leverage the first three?

7. VRIO Analysis (usually, rate/compare to expectations) 7 Marketable Products and Operational Processes Value?Rarity?Imitability?Organization? … … …

8. Tangible: Physical

9. Tangible: Technological

10. Tangible: Organizational

11. Intangible: Human

12. Intangible: Innovation and Creativity

13. Intangible: Reputation

14. Value

16. Rarity

18. Imitability

20. Organization